You can cash savings bonds at most banks, credit unions, and the U.S. Treasury

The place you cash a savings bond depends on the type of bond and whether it has reached maturity. Series EE and Series I bonds held in paper form can be cashed at your bank or credit union, or directly through the U.S. Treasury if you have a TreasuryDirect account. Bonds held electronically in TreasuryDirect can only be redeemed through that account online.

If your bond is still within its first year, most banks will not cash it — you will need to go through the Treasury instead. After the first year, banks and credit unions typically accept them, though some smaller institutions may decline. The process takes minutes at a bank counter, or a few business days if you redeem online through TreasuryDirect.

Key Takeaways

  • Paper Series EE and Series I bonds can be cashed at your bank, credit union, or through TreasuryDirect, but banks usually will not redeem bonds less than one year old.
  • Electronic bonds held in TreasuryDirect must be redeemed through your TreasuryDirect account online; no bank will cash them.
  • You will need the bond itself (for paper bonds), a valid ID, and proof of ownership if someone other than the registered owner is cashing it.
  • Redeeming before the bond reaches its final maturity date may result in a penalty equal to the last three months of interest.
  • The Treasury sends redemption proceeds by electronic transfer or check, depending on your account setup.

Cashing paper bonds at a bank or credit union

Bring the physical bond certificate, a valid government-issued ID, and your Social Security number to any bank or credit union where you have an account. Many institutions will cash bonds for non-customers as well, though some require an account. Call ahead if you are unsure — policies vary by branch.

The teller will examine the bond to confirm it is at least one year old (most banks enforce this rule), verify the registered owner's identity, and process the redemption. You will receive payment by check or direct deposit, depending on the bank. The transaction usually completes the same day, though the funds may take one to three business days to clear if deposited.

If the bond is registered to someone who has died, the person cashing it will need to bring a death certificate and proof of their authority to act on the deceased's behalf — typically a will, power of attorney, or court order. Requirements differ by bank, so contact the institution beforehand.

Redeeming bonds through TreasuryDirect online

Log into your TreasuryDirect account at treasurydirect.gov, navigate to "Manage My Securities," and select the bond you want to redeem. Confirm the redemption amount and choose how you want to receive the money — direct deposit to a U.S. bank account or a check mailed to your address. Submit the request and the Treasury will process it within one to two business days.

This method works for both paper bonds you have converted to electronic form and bonds you purchased electronically. You do not need to visit a bank or provide physical documents. If you do not have a TreasuryDirect account, you can open one for free at treasurydirect.gov — the process takes about 15 minutes and requires a Social Security number, valid ID, and a U.S. bank account for direct deposit.

Early redemption penalties and timing

If you redeem a Series EE or Series I bond before it reaches its final maturity date, you will lose the last three months of interest. For example, if you cash a bond 10 years into its 30-year life, you forfeit the interest that would have accrued in months 10 through 10.25. This penalty applies whether you redeem at a bank or through TreasuryDirect.

Series I bonds have an additional restriction: if you redeem them within five years of purchase, you lose the last three months of interest. After five years, you can redeem without that penalty, though you still forfeit interest if you cash before final maturity. Series EE bonds have no five-year lock-in — you can redeem after one year, but the three-month interest penalty still applies.

Check your bond's maturity date before redeeming. The Treasury website and TreasuryDirect both display this information. If you are close to the maturity date, waiting a few months may preserve more interest than redeeming early.

What to bring and what happens next

For paper bonds at a bank: bring the bond certificate itself, a valid ID (driver's license, passport, or state ID), and your Social Security number. If you are cashing a bond registered to someone else, bring a signed power of attorney or proof of guardianship. If the registered owner has died, bring the death certificate and your legal authority to act.

For TreasuryDirect redemptions: you need only your login credentials and access to your registered bank account or mailing address. No physical documents are required.

After redemption, the Treasury or bank will send you a 1099-INT form in January of the following year if the interest earned exceeds $10. You will owe federal income tax on the interest, though not state or local tax. Keep records of when you purchased and redeemed the bond for your tax records.

What to do if your bank will not cash the bond

Some banks, especially smaller branches or credit unions, decline to cash savings bonds due to staffing or policy. If this happens, you have two options: visit a different bank (most major national banks accept them), or redeem through TreasuryDirect instead.

If the bond is less than one year old, no bank will cash it — TreasuryDirect is your only option. Convert the paper bond to electronic form in your TreasuryDirect account (this takes a few days), then redeem it online. You will still incur the three-month interest penalty, but you will receive the money without visiting a bank.

Frequently Asked Questions

Can I cash a savings bond at any bank?

Most major banks and credit unions will cash Series EE and Series I bonds if they are at least one year old and you have a valid ID. Smaller institutions may decline. Call ahead to confirm, or use TreasuryDirect if your bank refuses.

What if I lost the paper bond certificate?

Contact the Treasury at 844-284-2676 or through treasurydirect.gov to report the loss and request a replacement. You will need to provide the bond's series, denomination, and serial number if you have it. The replacement process takes several weeks.

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

You owe federal income tax on the interest earned, but not on the original amount you invested. The interest is taxable in the year you redeem the bond. You will receive a 1099-INT form if the interest exceeds $10.

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

Yes, if you provide a signed power of attorney or written authorization. The person cashing it will need to bring that document, their own ID, and the bond certificate to the bank. TreasuryDirect does not allow third-party redemptions — only the account owner can redeem online.

How long does it take to get the money after I redeem?

At a bank, you receive payment the same day, though deposited checks may take one to three business days to clear. Through TreasuryDirect, the Treasury processes the request within one to two business days and sends the money by direct deposit or mail.