You deposit savings bonds by taking them to a bank or credit union that handles bond redemptions, or by mailing them to the U.S. Department of the Treasury

Savings bonds do not go into a bank account the way a paycheck does. Instead, you exchange the physical bond (or the digital record if you own it electronically) for cash, which the bank or Treasury then deposits or sends to you. The method you use depends on whether your bonds are paper or electronic, how much they are worth, and which financial institution you use.

Most people take paper bonds to their bank or credit union in person. Some banks will not handle bonds at all, so calling ahead saves a trip. If your bank declines, you can mail bonds directly to the Treasury's Bureau of the Fiscal Service, though this takes longer and requires more paperwork. Electronic bonds held through TreasuryDirect can only be redeemed through that online system.

Key Takeaways

  • Paper savings bonds can be redeemed at most banks and credit unions, but you must call first because not all financial institutions handle them.
  • You will need the physical bond itself, a government-issued ID, and proof of Social Security number to redeem at a bank.
  • Electronic bonds held in TreasuryDirect are redeemed online through your account and deposited to your linked bank account within one to three business days.
  • If you mail paper bonds to the Treasury, include a completed FS Form 1522 and allow four to six weeks for processing.
  • Some bonds cannot be redeemed until they reach final maturity, which can be 30 years after issue for Series EE bonds.

Redeeming paper bonds at a bank or credit union

Call your bank or credit union before you go. Ask whether they redeem U.S. savings bonds and whether they charge a fee. Many banks do this without charge, but some have stopped handling bonds altogether because the volume is low. If your bank declines, try a credit union or a different bank branch in your area.

Bring the physical bond, a government-issued photo ID (driver's license, passport, or state ID), and your Social Security card or a document showing your Social Security number. The teller will verify the bond's serial number and issue date, check that it has reached its earliest redemption date, and confirm your identity. If everything matches, they will give you cash or deposit the funds into your account on the spot.

The bank will send the redeemed bond to the Federal Reserve for cancellation. You will receive a receipt showing the redemption amount, which you should keep for your records. If the bond is in both your name and another person's name, both owners may need to be present, depending on how the bond was registered.

Redeeming electronic bonds through TreasuryDirect

Log into your TreasuryDirect account at treasurydirect.gov using your username and password. Navigate to the "Manage My Securities" section and select the bond you want to redeem. Review the redemption value — this is what you will receive, not the purchase price.

Click "Redeem" and confirm the transaction. TreasuryDirect will deposit the funds into the bank account you linked to your TreasuryDirect account. This deposit usually arrives within one to three business days. You will receive an email confirmation with the redemption date and amount.

Electronic bonds cannot be redeemed before their earliest redemption date. For Series EE bonds, this is typically one year after purchase. For Series I bonds, you can redeem after one year, but if you redeem before five years have passed, you lose the last three months of interest. Check your bond's details in TreasuryDirect to see when it becomes redeemable.

Mailing bonds to the Treasury

If no bank near you will redeem your bonds, you can mail them directly to the Bureau of the Fiscal Service. Complete FS Form 1522 (Statement of Ownership and Request for Payment of Savings Bond), which you can read from treasurydirect.gov or request by phone at 844-284-2676.

Include the completed form, the physical bond, and a copy of your government-issued ID. Do not send the original ID. Mail everything to the address listed on the form — currently the Bureau of the Fiscal Service, Parkersburg, WV 26106. Use certified mail with return receipt so you have proof of delivery.

Processing takes four to six weeks. The Treasury will mail you a check to the address on file with your bond registration. If you need the money sooner, redeeming at a bank is faster. Keep a copy of the form and your mailing receipt until you receive the check.

When bonds cannot be redeemed yet

Every savings bond has an earliest redemption date. For Series EE bonds purchased after May 2003, you must wait one year before redeeming. For Series I bonds, the same one-year wait applies. If you try to redeem before this date, the bank or TreasuryDirect will reject the request.

Series EE bonds also have a penalty for early redemption if you cash them in before five years have passed: you lose the last three months of interest. For example, if you redeem a Series EE bond after three years, you receive interest only through month 33, not month 36. Series I bonds have the same penalty structure.

Check your bond's issue date and series type before attempting redemption. If the bond is not yet redeemable, you will need to wait. TreasuryDirect shows the redemption date for each electronic bond in your account.

Tax reporting when you redeem bonds

The interest you earned on the bond is subject to federal income tax. You report this on your tax return for the year you redeem the bond, not the year you purchased it. The bank or Treasury does not send you a 1099 form automatically — you calculate the interest yourself by subtracting the purchase price from the redemption amount.

Keep your redemption receipt and the original bond documentation. If you redeemed the bond at a bank, the receipt shows the redemption amount. If you redeemed through TreasuryDirect or by mail, your confirmation email or check stub shows the same information. You will need this when you file taxes.

Series I bonds have a special tax option: you can defer reporting the interest until you redeem the bond, or you can report it each year even though you have not cashed it in yet. Consult a tax professional if you own a large number of bonds or if you are unsure which method to use.

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

If you own an electronic bond through TreasuryDirect, you cannot lose it — it exists only in your online account. If you lost access to your account, you can reset your password or contact TreasuryDirect support.

If you lost a paper bond, contact the Bureau of the Fiscal Service at 844-284-2676. Provide the bond's series, denomination, and serial number if you have it. The Treasury can search its records to confirm you own the bond and issue a replacement. This process takes several weeks. If you do not have the serial number, bring any documentation showing you purchased the bond — a receipt, a bank statement, or a letter from the issuer.

Frequently Asked Questions

Can I redeem a savings bond before its maturity date?

Yes, but only after the earliest redemption date, which is usually one year after purchase. Series EE and Series I bonds redeemed before five years have passed lose the last three months of interest. Some older bonds have different rules — check your bond's documentation or call the Treasury at 844-284-2676.

Do I need both owners present if the bond is registered to two people?

It depends on how the bond was registered. If it is registered as "Owner or Beneficiary," only one owner needs to be present. If it is registered as "Owner and Beneficiary," both may need to sign. Ask the bank when you call to confirm their policy.

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

At a bank, you receive cash or a deposit on the same day. Through TreasuryDirect, the deposit arrives within one to three business days. By mail to the Treasury, allow four to six weeks for a check to arrive.

What if the bank says they cannot redeem my bond?

Try another bank or credit union in your area. If none will redeem it, you can mail the bond to the Bureau of the Fiscal Service with a completed FS Form 1522. This takes longer but will result in redemption.

Do I have to pay taxes on the interest when I redeem?

Yes, federal income tax applies to the interest earned. You report it on your tax return for the year you redeem the bond. State and local taxes may also explore depending on where you live. The bank or Treasury does not send a tax form, so keep your redemption receipt for your records.