Banks and credit unions are your fastest option for cashing savings bonds

Most people cash savings bonds at their own bank or credit union. Walk in with the bond itself, your ID, and a signature card, and the teller will verify the bond, check that it has reached its maturity date, and give you the cash or deposit it to your account. This takes about 15 minutes. Not every branch handles bonds — call ahead to confirm your location does — but if yours does, this is the simplest route.

Credit unions often cash bonds even if you are not a member, though some charge a small fee for non-members. Banks vary: some cash any bond for account holders, some require the bond to have been issued in your name, and some will not touch them at all. Call your institution first rather than showing up with the bond in hand.

Key Takeaways

  • Your own bank or credit union is the fastest place to cash a savings bond if they offer the service, which takes about 15 minutes with your ID and the bond itself.
  • The Federal Reserve will cash any U.S. savings bond at any of its regional banks, but you must mail the bond and wait one to two weeks for a check.
  • Series EE and Series I bonds cannot be cashed before five years have passed, and you will owe a penalty of three months' interest if you cash them before 20 years.
  • The U.S. Treasury's TreasuryDirect website shows you which bonds you own if they were purchased electronically, and you can cash those bonds directly through your account.
  • If a bond was lost, stolen, or destroyed, you can request a replacement from the Treasury, though the process takes several weeks.

Cashing bonds through the Federal Reserve by mail

If your bank will not cash the bond or you prefer not to go in person, you can mail it to the Federal Reserve. The Federal Reserve has 12 regional banks across the country, and each one has a department that handles savings bond redemptions. You send the bond with a letter stating your name, address, and the amount you want to receive, along with a copy of your ID.

The Federal Reserve will mail you a check, which typically arrives within one to two weeks. This method works for any U.S. savings bond, regardless of where it was issued or how old it is. The downside is the wait and the small risk of the bond being lost in the mail, which is why most people prefer their bank if it is an option.

To find the Federal Reserve bank in your region, visit the Federal Reserve's website and look for the redemption services section. Each regional bank publishes its mailing address and any specific instructions for your state.

Using TreasuryDirect for electronic bonds

If you bought your savings bonds through TreasuryDirect — the Treasury's online platform — you can cash them directly from your account without ever handling a physical bond. Log in to TreasuryDirect, navigate to your bonds, and select the ones you want to redeem. The money goes into your linked bank account within one to two business days.

TreasuryDirect shows you the exact maturity date of each bond and whether it has reached the point where you can cash it without penalty. This is the fastest method for electronic bonds and avoids any paperwork or mailing. If you have not set up TreasuryDirect yet but own bonds purchased through it, you can create an account using your Social Security number and the bond's issue date.

What happens if your bond is not yet mature

Series EE bonds and Series I bonds cannot be cashed before five years have passed from the issue date. If you try to cash one before that point, the bank or Federal Reserve will refuse. You have to wait until the five-year mark, no exceptions.

If the bond is past five years but before 20 years, you can cash it, but you will lose three months' worth of interest as a penalty. For example, if a Series I bond issued in January 2020 is cashed in March 2024, you would receive the full value up to December 2023 (the last full month before the three-month penalty window). Series EE bonds and I bonds are designed to be held longer, and the penalty discourages early withdrawal.

Series HH bonds and older bond types have different rules — some have no early withdrawal penalty, and some cannot be cashed at all after a certain age. Check the bond's issue date and series letter to understand its specific terms.

Cashing bonds in someone else's name

If you inherited a savings bond or are cashing one on behalf of someone else, the process depends on whose name is on the bond. If the bond is registered to two people (for example, "John Smith or Jane Smith"), either person can cash it alone. If it says "and" instead of "or", both people must sign and be present.

If the bond owner has died, you will need a death certificate and proof that you are authorized to handle their estate — usually a will, trust document, or court order. Banks and the Federal Reserve have different requirements for inherited bonds, so contact them first with the bond and the death certificate to learn what else they need.

Replacing a lost, stolen, or damaged bond

If your physical bond is lost, stolen, or too damaged to cash, you can request a replacement from the Treasury. You will need to fill out Form PD 1048 and send it with a copy of your ID and proof of the bond's issue (such as an old bank statement or purchase confirmation). The Treasury will verify that the bond exists in their records and issue a replacement.

This process takes four to six weeks. During that time, the bond continues to earn interest, so you do not lose money by waiting. If the original bond turns up later, you must return it or notify the Treasury that it has been found.

Tax reporting when you cash a bond

When you cash a savings bond, the interest you earned is subject to federal income tax. The bank or Federal Reserve does not withhold tax automatically — you report the interest on your tax return for the year you cashed the bond. If the bond earned $500 in interest, you owe tax on that $500 as ordinary income.

Some people choose to report the interest each year as the bond earns it, rather than all at once when they cash it. This spreads the tax liability over time. You decide which method to use when you file your return, and the bank does not report the interest to the IRS — that is your responsibility.

Frequently Asked Questions

Can I cash a savings bond at any bank?

No. Each bank decides whether to cash savings bonds, and policies vary widely. Some cash them only for account holders, some only for bonds issued in your name, and some do not offer the service at all. Call your bank first. If they will not do it, the Federal Reserve will cash any bond by mail.

What if my bond is not mature yet?

Series EE and Series I bonds must be at least five years old before you can cash them. If you try before that, the bank will refuse. If the bond is past five years but before 20 years, you can cash it but will lose three months of interest as a penalty.

How long does it take to get my money?

At a bank or credit union, you get cash or a deposit the same day. Through TreasuryDirect, the money reaches your bank account in one to two business days. By mail to the Federal Reserve, expect one to two weeks for the check to arrive.

Do I have to pay taxes on the interest?

Yes. The interest you earned on the bond is taxable income in the year you cash it. You report it on your federal tax return. The bank does not withhold the tax, so you are responsible for setting aside money to pay it when you file.

What if the bond is in my child's name?

If the bond says your child's name alone, your child must sign it and be present (or you must have power of attorney). If it says "Parent or Child", either of you can cash it alone. Bring ID and the bond to your bank, or mail it to the Federal Reserve with a copy of your child's ID.