When do bonds fully mature

If you plan to use savings bonds to pay for qualified education expenses, you may get additional federal tax benefits. The longer you wait to cash in your savings bond, the more your money will grow. Savings bonds continue to grow in value until they reach maturity at 30 years. If you want to know how your bond is growing, you can see the current value of your electronic savings bond by logging into TreasuryDirect.

For paper bonds, use the U. Paper savings bonds can typically be cashed in at your bank or credit union. Paper bonds can also be cashed via mail. Department of Treasury, get your signature certified and mail the form to the address noted on the form.

Electronic bonds can be cashed in by logging into your TreasuryDirect account and setting up a direct deposit to your checking or savings account. Industries to Invest In.

Getting Started. Planning for Retirement. Retired: What Now? Personal Finance. Credit Cards. About Us. Who Is the Motley Fool? Fool Podcasts. New Ventures. Search Search:. Wendy Connick imwconn. Series EE bonds mature after 20 years, meaning they can earn interest for that period of time.

EE bonds are sold for half of the face value, and the U. Treasury Department guarantees that they will reach face value after 20 years. If the interest payments don't cause the bond to reach full face value at the end of 20 years, the government will do a one-time adjustment to bring the bond's value to equal face value.

It's important to keep in mind, however, that EE bonds must be owned for at least one year before redemption. If they are redeemed before five years, the last three months' worth of interest is forfeited, but after five years, they can be redeemed with no penalty. The annual interest rate for EE bonds issued from Nov. Series I bonds are sold at face value and mature after 30 years. The composite rate for Series I bonds issued from Nov.

This rate applies for the first six months that you own the bond. Series HH bonds are also sold at face value, with bondholders receiving interest payments through direct deposit every six months for the year life of the bond. As of Jan. HH bonds have not been available for purchase since Aug. Treasury Direct. Fixed Income Essentials. Your Privacy Rights. To change or withdraw your consent choices for Investopedia. At any time, you can update your settings through the "EU Privacy" link at the bottom of any page.

These choices will be signaled globally to our partners and will not affect browsing data. We and our partners process data to: Actively scan device characteristics for identification. Perhaps you store them in a file cabinet or safe deposit box and rarely think about them. You may wonder how the interest you earn on EE bonds is taxed, or when they stop earning interest. Series EE Bonds dated May and after earn a fixed rate of interest.

Bonds purchased between May and April 30, , earn a variable market-based rate of return. Paper Series EE bonds were sold at half their face value. The U.