Where to cash your EE bonds

You can cash EE bonds at most banks and credit unions, or directly through the U.S. Treasury if your financial institution won't do it. Walk in with the bond itself and a valid photo ID. The teller will verify the bond's serial number, confirm you are the registered owner or an authorized representative, and process the redemption on the spot—usually within minutes.

If your bank declines to cash it (some smaller institutions don't handle savings bonds), you can redeem through TreasuryDirect, the Treasury's online platform. You'll need to set up an account, link the bond by its serial number, and request the redemption. The Treasury deposits the proceeds directly into your bank account within a few business days.

You can also mail the bond to the Treasury's Bureau of the Fiscal Service with a completed Form PD 1522 (Request for Payment of Savings Bond), along with a photocopy of your ID. This route takes longer—typically two to four weeks—and carries the small risk of loss in the mail, so it's best used only if the other options aren't available to you.

Key Takeaways

  • Most banks and credit unions will cash EE bonds in person if you bring the bond and a photo ID, with payment on the same day.
  • EE bonds purchased before May 2003 are paper bonds; those purchased after are digital and held in TreasuryDirect, which you access online.
  • If your bank won't cash a paper bond, you can redeem it through TreasuryDirect or by mailing it to the Treasury with Form PD 1522.
  • You will owe federal income tax on the interest your bond earned, but not state or local tax, and you can choose to report it all in the year you cash it or spread it across the years you held it.

Paper bonds versus digital bonds

The method you use depends on whether your EE bond is paper or digital. Paper EE bonds are physical certificates issued before May 2003. You hold them in your hand, and you can walk into a bank to cash them. If you've kept them in a safe deposit box or a drawer, they're still valid and can be redeemed at any time after the initial holding period.

Digital EE bonds purchased after May 2003 exist only in TreasuryDirect, the Treasury's online system. You don't receive a paper certificate. To cash a digital bond, you log into your TreasuryDirect account, select the bond, and request redemption. The money lands in your linked bank account within a few business days. You cannot take a digital bond to a bank in person because there is nothing physical to present.

If you're unsure whether you own paper or digital bonds, check TreasuryDirect first. Log in with your Social Security number and password. If the bond appears there, it's digital. If you have no TreasuryDirect account or the bond doesn't show up, it's likely paper, and you should look for the physical certificate.

When you can cash an EE bond

EE bonds have a holding period before you can redeem them. Bonds issued after May 2003 must be held for at least one year. If you cash them before five years have passed, you lose the last three months of interest as a penalty. So a bond held for two years will forfeit six months of earnings.

Bonds issued before May 2003 have a one-year holding period with no early-redemption penalty, though you still lose three months of interest if you cash before five years. After 30 years, EE bonds stop earning interest, so there's no reason to hold them longer.

You can cash a bond at any bank, even if you didn't purchase it there and don't have an account. The bond itself is the proof of ownership. Bring it along with your ID, and the teller will handle the rest.

How the redemption value is calculated

The value you receive when you cash an EE bond is the face value (the amount printed on the bond) plus all the interest it has earned since you bought it. EE bonds are sold at half their face value—you pay $50 for a $100 bond—so the interest is what brings the value up over time.

The Treasury calculates interest monthly and adds it to the bond's value. The longer you hold the bond, the more interest accumulates. You can check the current value of a paper bond by entering its serial number on the Treasury's Savings Bond Calculator website. For digital bonds, TreasuryDirect shows the current value in your account.

When you redeem, you receive the full current value in one payment. There are no partial redemptions—you cash the whole bond or none of it.

Tax reporting when you cash

The interest your EE bond earned is subject to federal income tax, but not state or local tax. You owe tax only on the interest, not on the original amount you invested. When you cash the bond, the bank or Treasury does not withhold tax automatically—you report it yourself when you file your tax return.

You have two options for reporting. You can report all the interest in the year you cash the bond (the simplest approach for most people). Or, if you prefer, you can report the interest spread across each year you held the bond, which may lower your tax burden in the year of redemption if you're in a higher tax bracket that year. This second method requires you to file Form 8818 with your tax return, so most people stick with the first option.

Keep a record of how much interest you earned. The Treasury does not send you a 1099 form automatically, so you'll need to calculate it yourself: the redemption value minus the original purchase price equals the taxable interest.

What to bring and what to expect

For a paper bond at a bank: bring the bond itself and a valid photo ID (driver's license, passport, or state ID). The teller will ask you to sign the back of the bond in their presence. They'll verify your identity, check that the bond is legitimate, and process the payment. You'll receive a check or a deposit to your account if you have one there. Most banks complete this in under ten minutes.

For a digital bond through TreasuryDirect: log in to your account, select the bond you want to redeem, confirm the redemption request, and submit. The Treasury will deposit the funds into the bank account you've linked to your TreasuryDirect account. This takes three to five business days. You don't need to visit a bank or provide any documents beyond your login credentials.

If a bank refuses to cash your paper bond, ask why. Some institutions have policies against it, or the teller may be unfamiliar with the process. If that happens, TreasuryDirect or the mail-in method are your alternatives. Neither is difficult, just slower.

Cashing bonds owned by someone else

If you're redeeming a bond registered to someone else, you'll need to be listed as an authorized representative on the bond. For paper bonds issued before May 2003, this is usually the co-owner or a person named on the bond itself. For digital bonds, the registered owner must grant you access through TreasuryDirect.

If you're the executor of an estate and need to cash a deceased person's bonds, bring the bond, your photo ID, and a certified copy of the death certificate and the will or letters testamentary. The bank may require additional documentation. Call ahead to confirm what they need.

If you're a parent or guardian cashing a bond owned by a minor, bring the bond, your ID, and proof of guardianship (birth certificate or custody order). The minor does not need to be present.

Frequently Asked Questions

Can I cash an EE bond before one year has passed?

No. EE bonds issued after May 2003 must be held for at least one year before redemption. Older bonds have the same one-year minimum. If you need the money sooner, you cannot access it without breaking the bond's terms.

What happens if I lose a paper EE bond?

Contact the Treasury's Bureau of the Fiscal Service with the bond's serial number, your proof of ownership, and a statement that it was lost. They can issue a replacement or process a claim. This takes several weeks. Keep paper bonds in a safe place—a safe deposit box or home safe is better than a drawer.

Do I have to cash the whole bond, or can I cash part of it?

You must cash the entire bond. There is no partial redemption. If you need only some of the money, you'll have to decide whether to redeem the whole bond or wait.

Will the bank charge me a fee to cash an EE bond?

Most banks do not charge a fee to redeem savings bonds for customers or non-customers. If a bank quotes you a fee, that's unusual—ask to speak to a manager or try another bank. The Treasury does not charge a fee for redemptions through TreasuryDirect.

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

At a bank with a paper bond, you receive payment the same day. Through TreasuryDirect, the Treasury deposits the funds within three to five business days. By mail, allow two to four weeks for the Treasury to receive, process, and send payment.