Series EE Savings Bonds Information

Bad economic news tends to turn investors to buying Treasury bonds and government savings bonds like Series EE savings bonds. Treasury bonds can be part of your investment strategy to grow wealth.

Series EE Bonds are reliable, low-risk government-backed savings products that you can use toward financing education, supplemental retirement income, birthday and graduation gifts, and other special events.

Series EE Bonds purchased on or after May 1, 2005, earn a fixed rate of return, letting you know what the bonds are worth at all times. EE Bonds purchased between May 1997 and April 30, 2005, are based on 5-year Treasury security yields and earn a variable market-based rate of return.

You may purchase EE Bonds via Treasury Direct or at almost any financial institution or through your employer's payroll deduction plan, if available. If you are a Treasury Direct account holder, you can purchase, manage, and redeem EE Bonds directly through the Internet.

Individuals, corporations, associations, public or private organizations, and fiduciaries can own paper Series EE/E Bonds. At this time, only individuals can open a Treasury Direct account and own electronic savings bonds.

You can own U.S. Savings Bonds if you have a Social Security Number and you're a resident of the United States. Citizen of the United States living abroad (must have U.S. address of record). Civilian employee of the United States regardless of residence. Unlike other securities, minors may own U.S. Savings Bonds.

Buying Electronic EE Bonds:

Sold at face value; i.e., you pay $50 for a $50 bond and it's worth its full value when it's available for redemption.

Purchase in amounts of $25 or more, to the penny.

$5,000 maximum purchase in one calendar year.

Issued electronically to your designated account.

Buying Paper EE Bonds:

Sold at half their face value; i.e., you pay $25 for a $50 bond but it's not worth its face value until it has matured.

Purchase in denominations of $50, $75, $100, $200, $500, $1,000, and $5,000, and $10,000.

$5,000 maximum purchase in one calendar year.

Issued as paper bond certificates.

If you redeem EE/E Bonds in the first 5 years, you'll forfeit the 3 most-recent months' interest. If you redeem them after 5 years, you won't be penalized.