Where to cash your paper savings bond

You can cash a paper savings bond at most banks and credit unions, even if you don't have an account there. Walk in during business hours with the bond and a valid photo ID — a driver's license, passport, or state ID card all work. The teller will verify the bond's serial number and your identity, then give you cash or deposit the money into an account you name.

If you prefer not to visit a bank in person, you can mail the bond to the U.S. Department of the Treasury's Bureau of the Fiscal Service. Send it with a completed FS Form 1522 (a form you can read from treasurydirect.gov) and a copy of your ID. Mail it to the address listed on the form. Processing takes several weeks, and the Treasury will send you a check by mail.

Some credit unions and smaller banks may ask you to have an account with them before they'll cash a bond. If that happens, try another bank — most major banks will cash bonds for non-customers without issue.

Key Takeaways

  • You can walk into any bank or credit union with your paper bond and a photo ID to cash it the same day, whether or not you have an account there.
  • The bond must have reached its maturity date or you must have owned it for at least one year; cashing it before maturity may result in a three-month interest penalty.
  • If you mail the bond to the Treasury, include a completed FS Form 1522 and a copy of your ID, and expect to wait several weeks for a check.
  • Bring the original bond certificate — a photocopy will not be accepted by banks or the Treasury.

Check the bond's maturity date before you cash it

Paper savings bonds have a maturity date printed on the certificate. Series EE bonds issued before May 2003 stop earning interest after 30 years. Series I bonds stop earning interest after 30 years as well. If your bond has reached its maturity date, you can cash it without any penalty.

If you cash the bond before it matures, you will lose the last three months of interest. For example, if a Series EE bond matures on June 15 and you cash it on May 1, you forfeit the interest that would have been paid in May and June. You still receive all the interest earned up to March 15.

There is one exception: you can cash any savings bond without penalty if you have owned it for at least one year. So if you bought a bond on January 1 and want to cash it on January 2 of the following year, you can do so without losing interest, even if the bond's maturity date is years away.

What you need to bring to the bank

Bring the original paper bond certificate and a valid photo ID. The bond must be in your name or you must be listed as a co-owner. If someone else owns the bond, they must be present to cash it, or they must sign a power of attorney form authorizing you to act on their behalf.

Do not bring a photocopy of the bond. Banks and the Treasury will not accept copies — they need the original certificate with the serial number and all security features intact. If your bond is damaged, torn, or faded, call the Treasury at 844-284-2676 to ask about replacement options before you go to the bank.

If you are cashing the bond on behalf of someone else and they cannot be present, you will need a signed power of attorney document. Some banks have their own power of attorney forms; others accept a general legal power of attorney. Call the bank ahead of time to ask what form they need.

How the bank processes your cash-out

The teller will examine the bond to confirm it is genuine and readable. They will look up the bond's serial number in a system to verify its current value and check that it has not already been cashed. This lookup takes a few minutes.

Once the bond is verified, you can choose to receive the money as cash or have it deposited into a bank account. If you choose cash, the teller will count it out and you leave with the money. If you choose a deposit, you can use your own account at that bank or any other bank — you just need to provide the account number and routing number.

The bank will not charge you a fee to cash the bond. The transaction is free. If a bank tells you there is a fee, that is not standard practice — you can go to a different bank.

Cashing bonds owned by a minor or deceased person

If the bond is registered in a child's name, a parent or legal guardian must bring the bond and their own photo ID. The parent or guardian will receive the cash or can direct it to an account. The bank will not require the child to be present.

If the bond owner has died, the bond becomes part of their estate. The person handling the estate (called the executor or administrator) can cash the bond by bringing the original bond, their photo ID, and a certified copy of the death certificate. Some banks may also ask for a copy of the will or court documents showing who is authorized to handle the estate.

If there is no executor or the estate has not gone through probate, the situation is more complex. Contact the Treasury directly at 844-284-2676 to learn what documents you will need to provide.

Reporting the income on your taxes

When you cash a paper savings bond, the interest you earned is subject to federal income tax. You report this on your tax return for the year you cash the bond. The amount you owe tax on is the difference between what you paid for the bond and what you received when you cashed it.

For example, if you bought a Series EE bond for $50 and cashed it for $75, you owe income tax on the $25 in interest. You do not owe state or local income tax on savings bond interest in most states, though a few states do tax it — check your state's tax rules.

The bank does not send you a tax form when you cash the bond. You are responsible for tracking the interest and reporting it yourself. If you cashed multiple bonds, add up all the interest from all of them and report the total on your tax return.

What to do if you cannot find your bond

If you have lost the physical bond certificate, you can contact the Treasury to request a replacement. Call 844-284-2676 or visit treasurydirect.gov. You will need to provide the bond's serial number if you have it, or details about when and where you purchased it. The Treasury will search their records and can issue a replacement certificate or process a payment directly to you.

The replacement process takes several weeks. The Treasury will verify that you are the registered owner by checking the information you provide against their records. Once verified, they will either mail you a new certificate or send you a check for the bond's current value.

Keep your bond certificates in a safe place — a home safe, a safe deposit box at a bank, or with important documents. If you store them digitally, take a clear photo of both sides of the certificate and save it in a find location.

Frequently Asked Questions

Can I cash a paper savings bond at any bank?

Most banks and credit unions will cash paper savings bonds for anyone with a valid photo ID, even if you don't have an account there. Some smaller institutions may require you to be a customer. If one bank declines, try another — it's not a legal requirement, just a policy some banks choose.

What happens if I cash my bond before it matures?

You lose the last three months of interest. If your bond matures on June 15 and you cash it in April, you forfeit interest for April, May, and June. However, if you've owned the bond for at least one year, you can cash it without this penalty, even if it hasn't reached maturity yet.

Do I need to report the bond interest to the IRS?

Yes. The interest you earn on a savings bond is taxable income. You report it on your federal tax return for the year you cash the bond. The amount is the difference between what you paid for the bond and what you received when you cashed it.

Can someone else cash my bond if I'm not available?

Only if they have a signed power of attorney from you authorizing them to do so. The person cashing the bond must bring the original bond, their own photo ID, and the power of attorney document. Some banks have their own power of attorney forms — call ahead to ask.

What if my bond certificate is damaged or torn?

Call the Treasury at 844-284-2676 before you go to the bank. They can tell you whether the damage is severe enough to prevent cashing it and what options you have. In some cases, they can issue a replacement certificate or process the payment directly without the original bond.