Where to cash your savings bonds

You can cash savings bonds at most banks and credit unions, even if you don't have an account there. Walk in with the bonds and your ID, and the teller can process the redemption on the spot — most banks do this without charging a fee. If you prefer not to visit a branch, you can redeem Series EE and Series I bonds through TreasuryDirect, the U.S. Department of the Treasury's online platform, by logging into your account and requesting a transfer to your linked bank account.

Some employers also offer bond cashing through payroll, though this is less common now. If your bonds are held in a brokerage account, you'll redeem them through that brokerage's website or by calling their customer service line. For older bonds or bonds held in an estate, you may need to work with a financial institution that specializes in legacy securities.

Key Takeaways

  • Most banks and credit unions will cash your bonds in person without requiring an account, and the transaction typically takes a few minutes.
  • Series EE and Series I bonds can be redeemed online through TreasuryDirect if you registered them there when you purchased them.
  • You must wait at least one year after purchase before cashing any savings bond, and bonds cashed before five years lose the last three months of interest.
  • Bring the physical bond certificate and a government-issued ID to a bank; if the bond is registered to someone else, that person must be present or provide written authorization.
  • The bank will give you cash or deposit the proceeds directly to your account, and you'll receive a receipt showing the redemption value.

Timing rules: when you can actually cash a bond

You cannot cash a savings bond before one year has passed since you purchased it. This is a hard rule — no exceptions. If you try to redeem a bond within that first year, the bank will refuse.

If you cash a bond between one and five years after purchase, you lose the last three months of interest. For example, if you bought a bond on January 15, 2020, and cash it on March 1, 2023, you'll receive the value as of December 15, 2022 — not March 1. After five years, you keep all accrued interest no matter when you cash it.

Series I bonds have an additional consideration: they stop earning interest 30 years after issue. Series EE bonds earn interest for 30 years as well. You can still cash them after that period, but you won't earn anything new.

What you need to bring to the bank

Bring the physical bond certificate itself and a government-issued photo ID — a driver's license, passport, or state ID card. The teller will need to see both. If the bond is registered in your name, that's all you need. If it's registered to someone else, that person must be present with their ID, or they must provide a notarized letter authorizing you to redeem it on their behalf.

If you've lost the physical certificate, you cannot redeem it at a bank. Instead, you'll need to file a claim with the Treasury Department to replace it or get a refund. This process takes longer and requires documentation of the loss. Keep your bond certificates in a safe place — a home safe, safe deposit box, or fireproof container.

If you're redeeming through TreasuryDirect online, you won't need the physical certificate because the bonds are held electronically. You'll just need your login credentials and a linked bank account for the deposit.

How the redemption value is calculated

The redemption value is not a fixed amount — it grows over time as interest accrues. When you cash the bond, you receive the principal plus all interest earned up to the redemption date (or up to three months before, if you're cashing within the first five years).

For Series EE bonds, the redemption value is printed on the certificate, but that's the value at a specific point in time. The actual current value is higher. You can look up the current value of a Series EE bond on the TreasuryDirect website by entering the series, denomination, and issue date. For Series I bonds, the value changes every six months when the interest rate adjusts, so the current value depends on when you last checked.

The bank teller will tell you the exact redemption value before you sign anything. If you disagree with the amount, ask them to verify it using the Treasury's lookup tool or call the Treasury Department directly at 844-284-2676.

Tax reporting when you cash a bond

The interest you earn on savings bonds is subject to federal income tax, but not state or local income tax. You have a choice about when to report this income: you can report it in the year you cash the bond, or you can report it each year as the interest accrues (though most people don't do this).

When you cash the bond at a bank, you won't receive a tax form immediately. Instead, the Treasury will send you a Form 1099-INT in January of the following year if the interest earned was $10 or more. Keep your redemption receipt so you can match it to the 1099-INT when it arrives. If you redeemed the bond through TreasuryDirect, the form will be available in your account.

If the bond was held in an education savings account (like a 529 plan) or if you used it for may have access to education expenses, there may be tax advantages, but those are separate from the basic redemption process. Consult a tax professional if you think this applies to you.

Redeeming bonds held in someone else's name or an estate

If you're cashing a bond that was registered to a deceased person, you'll need to provide proof of your authority to do so — typically a death certificate and a copy of the will or a court order naming you as executor or beneficiary. Different banks have different requirements, so call ahead and ask what documents they need.

If the bond is registered to a minor, the parent or legal guardian can redeem it by bringing the child's birth certificate and their own ID. The funds go to the guardian, not the child. If the child is now an adult, they can redeem it themselves with just their ID.

For bonds held in a trust, bring the trust document and your ID. The bank will verify that you're authorized to act on behalf of the trust before processing the redemption.

What happens after you cash the bond

Once the bank processes your redemption, you'll receive either cash or a deposit to your account (if you ask for direct deposit). The bank will give you a receipt showing the bond's series, denomination, issue date, redemption date, and the amount you received. Keep this receipt for your records and for tax purposes.

The bond is now gone — you cannot cash it again, and you cannot reverse the transaction. If you change your mind, you'll have to purchase a new bond. There's no grace period or way to undo a redemption.

If you redeemed through TreasuryDirect, the funds will appear in your linked bank account within one to three business days. You'll see a confirmation in your TreasuryDirect account showing the transaction details.

Frequently Asked Questions

Can I cash a savings bond at any bank, or only my own bank?

You can cash it at any bank or credit union in the United States, even if you don't have an account there. Some very small banks or credit unions may decline if they don't have the systems to process Treasury securities, but most will do it. Call ahead if you're unsure.

What if I lost my savings bond certificate?

You cannot redeem a lost bond at a bank. You'll need to file a claim with the Treasury Department by mailing Form PD F 1048 and supporting documentation (like proof of purchase) to the Bureau of the Fiscal Service. The process can take several months. If the bond was purchased through TreasuryDirect, it's held electronically and cannot be lost.

Do I have to pay taxes when I cash a savings bond?

You don't pay taxes at the moment of redemption. The interest is subject to federal income tax, and you'll report it on your tax return for the year you cashed the bond. You'll receive a Form 1099-INT in January if the interest was $10 or more. State and local taxes do not apply to savings bond interest.

Can someone else cash my savings bond if I give them permission?

Only if they have written authorization from you. The bond must be registered in your name, and you'll need to provide a notarized letter authorizing the other person to redeem it. They'll bring that letter, the bond, and their ID to the bank. Without notarization, the bank will not process it.

How long does it take to get the money after I cash a bond?

At a bank, you get the money immediately — either cash in hand or a deposit to your account that posts the same day. Through TreasuryDirect, the transfer to your linked bank account takes one to three business days. There's no waiting period once the redemption is processed.