How long savings bonds take to mature

US savings bonds reach their full face value — the amount you paid for them — after a set number of years that depends on the bond type. Series EE bonds take 20 years to reach face value. Series I bonds (inflation bonds) also take 20 years. Series HH bonds, which are no longer sold but still held by many people, took 20 years as well.

The maturity date is fixed when you buy the bond. A Series EE bond purchased today will reach full value in exactly 20 years from the purchase date, not from when you first cash it or move it to a different account. The date is printed on your bond or shown in your TreasuryDirect account.

Reaching maturity does not mean the bond stops earning interest or that you must cash it. Savings bonds continue to earn interest for up to 30 years from the issue date, even after they reach face value. Many people hold bonds well past the 20-year maturity point because the interest keeps growing.

Key Takeaways

  • Series EE and Series I bonds both reach face value after 20 years from the purchase date, which is when the bond officially matures.
  • Bonds continue earning interest for up to 30 years total, so you can hold them for 10 years past maturity if you want the extra growth.
  • You can cash a bond anytime after one year of ownership, but cashing it before five years means losing the last three months of interest as a penalty.
  • After 30 years, the bond stops earning interest entirely and you should cash it or the interest stops accumulating.

The difference between maturity and final expiration

Maturity at 20 years means the bond has reached the value you originally paid for it. At that point, the bond has fulfilled its basic promise. But the bond's life does not end there — it enters what the Treasury calls the extended maturity period, which runs from year 20 to year 30.

During those 10 extra years, your bond keeps earning interest at the same rate it earned during the first 20 years. A Series EE bond purchased for $50 that reaches $100 at year 20 might be worth $110 or more by year 25, depending on interest rates. The exact amount depends on the rate your bond was issued at, which is locked in when you buy it.

At year 30 — called the final maturity date — the bond stops earning interest. This is the hard important date. After 30 years, you receive no more growth, and the Treasury will no longer pay interest on the bond even if you hold it. You should cash the bond by this date or shortly after to collect the full value it reached.

What happens if you cash a bond before it matures

You can cash a Series EE or Series I bond anytime after you have owned it for one year. There is no penalty for cashing early except for one rule: if you cash the bond before it has been five years old, you lose the last three months of interest.

This penalty applies whether you cash at year 1, year 3, or year 4. You forfeit the same three months of interest in all cases. Once the bond reaches five years old, you can cash it without any interest penalty, though you will receive only the value it has earned up to that point, not the full face value if it has not yet reached year 20.

Example: You buy a Series EE bond for $50 in January 2024. By January 2026 (two years later), it might be worth $55. If you cash it then, you lose three months of interest and receive approximately $53.75 instead. If you wait until January 2029 (five years later) and it is worth $70, you can cash it for the full $70 with no penalty.

How interest rates affect maturity value

The interest rate on your bond is set when you purchase it and never changes. For Series EE bonds, the Treasury sets a fixed rate that applies to all bonds purchased in that month. Series I bonds have a combined rate made up of a fixed portion (set when you buy) plus an inflation portion (which changes every six months).

Because the rate is locked in, two people who buy the same type of bond in different months will have different maturity values at year 20, even if they invested the same amount. A Series EE bond bought when rates were higher will be worth more at maturity than one bought when rates were lower.

You can see the current rates the Treasury is offering on the TreasuryDirect website before you purchase. Historical rates are also listed there, so you can look up what rate your existing bonds were issued at if you do not remember.

What to do when your bond reaches maturity

When your bond reaches the 20-year maturity date, you have a choice: cash it or let it keep growing. There is no automatic action — the bond does not disappear or get cashed for you. You stay in control.

If you want to cash it, log into TreasuryDirect (if you own the bond there) or contact your bank or broker (if you own a paper bond). The process takes a few business days. If you want to hold it for the extra 10 years of interest growth, straightforward do nothing. Your bond will continue earning at the same rate.

Many people hold bonds past maturity because the interest is still accumulating and they do not need the money yet. This is a reasonable strategy if you have a long time horizon and want the may provide growth. Just remember to cash the bond before or at year 30, because after that date, no more interest accrues.

Tracking maturity dates for multiple bonds

If you own several bonds purchased in different years, each one has its own maturity date 20 years from its purchase date. Keeping track of these dates matters because you want to know when each bond stops earning interest at year 30.

TreasuryDirect shows the issue date and maturity date for every bond in your account. If you own paper bonds, the issue date is printed on the bond itself, and you can calculate the maturity date by adding 20 years. A bond issued in March 2010 matures in March 2030 and stops earning interest in March 2040.

Some people set a calendar reminder for year 29 or 30 so they do not forget to cash bonds before the final expiration. Others keep a straightforward spreadsheet listing each bond, its purchase date, and the year it stops earning interest. Either method works — the goal is to avoid holding a bond past year 30 and losing the growth you earned.

Series HH bonds and their different timeline

Series HH bonds, which the Treasury stopped selling in 2004, also matured in 20 years but worked differently from EE and I bonds. HH bonds paid interest twice a year by check or direct deposit, rather than adding interest to the bond itself. If you still own an HH bond, it reached maturity 20 years after you bought it, but you may still be holding it.

HH bonds also had a 30-year final expiration date, just like EE and I bonds. If you own an HH bond purchased before 1994, it has already passed final maturity and stopped earning interest. If you own one purchased between 1994 and 2004, check the issue date to see whether it is still in the extended maturity period or has already expired.

The Treasury no longer issues HH bonds, so this information matters only if you inherited one or bought one before they were discontinued. If you do own an HH bond past its final maturity date, cash it as soon as possible because it is earning nothing.

Frequently Asked Questions

Can I cash my bond before it reaches 20 years?

Yes, you can cash any Series EE or I bond after one year of ownership. If you cash before five years, you lose the last three months of interest. After five years, you can cash anytime without an interest penalty, but you will receive only the value it has earned so far, not the full face value if it has not yet reached year 20.

What happens to my bond after it matures at 20 years?

The bond continues earning interest at the same rate for another 10 years, until year 30. You do not have to do anything — it keeps growing automatically. At year 30, interest stops accruing and you should cash the bond to collect its full value.

Do I have to cash my bond on the maturity date?

No. The maturity date at 20 years is when the bond reaches face value, but you can hold it longer if you want the extra interest growth. You only have to cash it by year 30, when interest stops. There is no penalty for holding past maturity as long as you cash before year 30.

How do I find the maturity date for a bond I bought years ago?

If the bond is in TreasuryDirect, log in and the maturity date is listed next to each bond. If it is a paper bond, the issue date is printed on it — add 20 years to find the maturity date. You can also call the Treasury at 844-284-2676 if you need help locating the information.

What if I forget to cash my bond after 30 years?

The bond stops earning interest at year 30, but you can still cash it anytime after that for the value it reached at year 30. You will not lose the money, but you will not earn any additional interest. Cash it as soon as you remember to collect what you are owed.