If you own savings more than 20 years old.
bonds, you may want to
check their issue dates Series HH/H bonds pay
to find out if they're interest on a semiannual
still earning interest. basis, so it's easy to
Depending on when you know when they stop
purchased your earning interest.
securities, it may be However, it's not always
time to redeem them. as obvious in the case
Below are some of accrual securities
guidelines that may like E bonds or Savings
help. Notes – these simply
stop growing in value.
Savings Bonds No Longer
Earning Interest: This often comes as a
1) E bonds through surprise to savings bond
November 1965 that are owners. While all
more than 40 years old, Treasury instruments are
issued with an original
2) E bonds with December term to maturity,
1965 or later issue maturity dates of
dates that are more than savings bonds have been
30 years old, extended by as much as
3) H bonds that are more 30 years. Original
than 30 years old, maturity is the maximum
4) Freedom Shares (also amount of time it takes
known as Savings Notes) for a Series E/EE bond
and or Savings Note
5) HH bonds that are
to reach face value. regulations governing
After your bond reaches savings bonds require
original maturity, it the interest income to
automatically enters one be reported for Federal
or more extension tax purposes for the
periods (usually ten year of final maturity,
years long). This allows causing tax problems for
for additional earned unwary bond owners.
interest but may create
confusion for owners As a savings bond owner,
about when their bonds you'll want to keep
reach final maturity. track of your bonds'
issue dates and when
Holding onto a security they stop earning
that's reached its final interest. While this
maturity date means that article has addressed
your money is no longer only savings bonds, you
earning interest. Why may also want to check
not redeem the matured the maturity dates of
security and put your your marketable
money back to work for securities (Treasury
you? Even if the bonds bills, notes or bonds).
aren't redeemed,
