You can cash Series EE bonds at your bank, through the Treasury Department, or by mail — but only after they reach their final maturity or you meet the holding period requirement

Series EE bonds become redeemable after you have held them for one year. You will not lose money by cashing them in early, but you will forfeit the last three months of interest if you redeem before five years have passed. After five years, you keep all accrued interest no matter when you cash them. At 30 years, the bonds stop earning interest and the Treasury automatically cashes them.

The method you choose depends on how you own the bond and how quickly you need the money. A bond held in paper form requires a different process than one in your Treasury Direct account online. Banks handle the transaction quickly but may charge a fee; the Treasury Department does not charge, but processing takes longer.

Key Takeaways

  • Series EE bonds can be cashed after one year of ownership, but redeeming before five years costs you the last three months of interest.
  • Paper bonds are redeemed at your bank with the bond certificate and a photo ID, while digital bonds are redeemed through your Treasury Direct account online.
  • The Treasury Department processes redemptions for free by mail if your bank will not handle them, though it takes two to four weeks.
  • You will receive a 1099-INT form at tax time for the interest earned, which is subject to federal income tax and optional state and local tax.

Redeeming a paper Series EE bond at your bank

Walk into any bank where you have an account and bring the physical bond certificate and a photo ID. The teller will verify the bond's serial number and current value using the Treasury Department's redemption tables, then deposit the cash into your account or issue a check. Most banks complete this transaction the same day at no charge, though some may require you to have an account with them.

If your bank refuses to redeem the bond — which happens occasionally with older bonds or institutions that have changed their policies — ask the manager for the reason. Some banks stopped handling paper bonds after the Treasury shifted to digital-only sales in 2012. In that case, you will need to use the mail-in process or contact the Treasury's Savings Bond Operations Center directly.

Redeeming a digital Series EE bond through Treasury Direct

Log into your Treasury Direct account at treasurydirect.gov using your username and password. Navigate to the "Manage Direct" section, select the bond you want to redeem, and click "Redeem." The system will confirm the current value and process the transaction immediately. The funds deposit into the bank account you registered with Treasury Direct, usually within one business day.

This is the fastest and simplest method if you own the bond digitally. You do not need to visit a bank, mail anything, or pay a fee. The Treasury Direct system shows you the exact redemption value before you confirm, so you know precisely what you will receive.

Redeeming by mail if your bank will not help

If your bank declines to redeem the bond, you can mail the certificate to the Treasury Department's Savings Bond Operations Center. Include the bond, a completed Form PD 1782 (Request for Payment of Series EE Savings Bonds), a photocopy of your ID, and a letter stating your request. Mail everything to the address listed on the form, which you can download from treasurydirect.gov.

Processing takes two to four weeks from the date the Treasury receives your package. There is no fee for this service. The Treasury will mail you a check to the address on file, or you can request direct deposit to your bank account if you include your routing and account numbers on the form.

Understanding the interest penalty for early redemption

If you redeem a Series EE bond before it has been held for five years, you lose the last three months of interest. For example, if you bought a bond in January 2020 and redeem it in March 2023 (just over three years), you receive interest only through December 2022. This is not a fee — it is a reduction in the interest the bond has earned.

After five years, there is no penalty. You receive all interest accrued up to the redemption date, whether you cash the bond at year five or year 29. This is why the five-year mark matters: it is the point where early redemption stops costing you money.

What happens to the interest you receive

The interest on Series EE bonds is subject to federal income tax. You will receive a 1099-INT form in January for any bonds redeemed in the previous calendar year, showing the total interest earned. You report this on your tax return as interest income.

State and local income tax treatment varies. Some states tax the interest; others exempt it. Check your state's tax rules or consult a tax professional if you live in a state with income tax. If you bought the bond to fund education expenses, you may be able to exclude some or all of the interest from federal tax under the Education Savings Bond Program, but you must meet specific requirements and file Form 8815 with your return.

What to do if you cannot find the bond or lost the certificate

If you own the bond through Treasury Direct, you do not have a physical certificate — it exists only in your online account, so this does not apply. If you have a paper bond and lost the certificate, contact the Treasury Department's Savings Bond Operations Center. You will need to provide proof of ownership, such as the original purchase receipt or documentation showing the bond was issued in your name.

The Treasury can issue a replacement certificate or process a claim for the bond's value. This process takes longer than a standard redemption and requires more documentation, so start as soon as you realize the bond is missing. Keep the confirmation number the Treasury provides in case you need to follow up.

Frequently Asked Questions

Can I cash a Series EE bond before one year?

No. Series EE bonds cannot be redeemed until you have held them for at least one year. If you need the money sooner, you will have to wait or find another source of funds.

What if the bond is in someone else's name?

If the bond is registered to another person, that person must be present with photo ID to redeem it, or they must authorize the redemption in writing. If the original owner has died, the person with legal authority over the estate (executor, administrator, or heir) can redeem it with proof of authority and a death certificate.

Do I have to redeem the entire bond, or can I cash in part of it?

Series EE bonds are redeemed as a whole — you cannot cash in a portion. You redeem the entire bond and receive its full current value, or you do not redeem it at all.

What if I do not redeem the bond by year 30?

At 30 years from the issue date, Series EE bonds stop earning interest and the Treasury automatically cashes them. You will receive a check for the final value mailed to the address on file. If you want to avoid this, you must redeem the bond yourself before the 30-year mark.

How do I know what my bond is worth right now?

For digital bonds in Treasury Direct, log into your account and the current value displays immediately. For paper bonds, use the Savings Bond Calculator at treasurydirect.gov, enter the series, denomination, and issue date, and it will show the current redemption value.