You can redeem Series EE bonds at most banks, through the Treasury Department, or by mail — but the method depends on whether your bonds are paper or digital

Series EE bonds held in paper form can be cashed at most banks and credit unions without an appointment, though some institutions have stopped accepting them. Digital bonds (those in TreasuryDirect) must be redeemed through your TreasuryDirect account online. The process takes minutes for digital bonds and usually the same day for bank redemptions, though the funds may take a few business days to appear in your account.

Before you redeem, check whether your bonds have reached final maturity. Series EE bonds issued after May 2003 stop earning interest 30 years after issue. If you redeem before the bond reaches 20 years old, you lose the last three months of interest as a penalty. The Treasury Department website lets you look up the exact maturity date and current value of any bond you own.

Key Takeaways

  • Paper Series EE bonds can be cashed at most banks and credit unions, while digital bonds must be redeemed through your TreasuryDirect account online.
  • Redeeming a Series EE bond before it reaches 20 years old costs you the last three months of accrued interest.
  • You will need to provide identification and proof of ownership when cashing paper bonds at a bank, and the teller will verify the bond's current value before payment.
  • Digital bonds redeemed through TreasuryDirect are deposited directly to your linked bank account within one to three business days.
  • If your bank no longer accepts paper bonds, the Treasury Department can redeem them by mail, though this route takes two to four weeks.

Cashing paper bonds at a bank or credit union

Walk into any bank or credit union branch with your paper bond and a valid photo ID. The teller will look up the bond's current value using the serial number and issue date, then verify that you are the registered owner or an authorized representative. Bring your ID even if you are a long-standing customer — the bank must confirm your identity before handing over cash.

Not all banks accept paper bonds anymore. Call ahead or ask the teller whether they still redeem them. If your bank has stopped, ask whether they can refer you to another branch in the network that does, or move to the mail-in method through the Treasury Department. Some credit unions are more likely to accept paper bonds than large national banks, so that can be worth trying first.

The bank will pay you the bond's current redemption value on the spot, usually in cash or by check. If you want the funds deposited to your account instead, ask the teller — most banks can do this, though it may take one to three business days to post.

Redeeming digital bonds through TreasuryDirect

Log into your TreasuryDirect account at treasurydirect.gov using your username and password. Click on "Manage My Securities" and select the Series EE bond you want to redeem. The system will show you the current value and ask you to confirm the redemption. Once you submit, the transaction is final and cannot be reversed.

The funds are deposited directly to the bank account you have linked to your TreasuryDirect account. This usually takes one to three business days. If you have not yet linked a bank account, you will need to do that before redeeming — TreasuryDirect requires a U.S. checking or savings account for all transactions.

Digital bonds can be redeemed at any time, even if they are less than 20 years old. However, the three-month interest penalty still applies if the bond is under 20 years old, so the system will show you the reduced amount before you confirm.

Redeeming paper bonds by mail through the Treasury Department

If your bank no longer accepts paper bonds, you can mail them to the Treasury Department's Bureau of the Fiscal Service. Download the form FS Form 1522 from treasurydirect.gov, fill it out completely, and include it with your bonds and a copy of your ID. Mail everything to the address listed on the form — currently the Bureau of the Fiscal Service in Parkersburg, West Virginia.

Include a cover letter stating your name, address, and the reason for redemption. Do not send the original bond in the mail; instead, send a certified copy or have the bond certified by a bank or notary public before mailing. This protects you if the package is lost.

Processing takes two to four weeks from the date the Treasury Department receives your package. The funds are deposited directly to your bank account. You will receive a confirmation letter once the redemption is complete.

What happens if you redeem before 20 years

Series EE bonds earn interest for 30 years, but they reach their full may provide value at 20 years. If you redeem before the 20-year mark, you forfeit the last three months of accrued interest. For example, if a bond is 19 years and 11 months old, you lose three months of interest even though you are only one month away from the full value.

The bank teller or TreasuryDirect system will show you the reduced redemption amount before you complete the transaction, so you can see exactly what the penalty costs. Some people choose to wait the remaining months rather than accept the penalty, especially if the bond is close to the 20-year mark.

Finding the value and maturity date of your bonds

The Treasury Department's Savings Bond Calculator at treasurydirect.gov lets you look up the current value of any Series EE bond. Enter the bond's series, denomination, serial number, and issue date. The calculator shows the current redemption value and the date the bond reaches final maturity (30 years after issue).

If you have lost track of your bonds' details, you can search the Treasury Department's Unclaimed Savings Bonds database. This database lists bonds that have reached final maturity and are no longer earning interest. If your bond appears there, you can claim it by providing proof of ownership.

What to bring when redeeming in person

Bring your paper bond and a valid photo ID — a driver's license, passport, or state ID card. If you are redeeming on behalf of someone else (as a parent or guardian), bring the bond, your ID, and a document proving your authority, such as a power of attorney or guardianship papers. Some banks may ask for additional documentation, so call ahead if you are uncertain.

If the bond is registered to two people and both names are on the bond, both owners should be present to redeem it, or one owner should bring a notarized power of attorney from the other. Check the bond itself to see how the names are listed.

Frequently Asked Questions

Can I redeem a Series EE bond before it matures?

Yes, you can redeem a Series EE bond at any time. However, if the bond is less than 20 years old, you lose the last three months of accrued interest. The redemption value shown by the bank or TreasuryDirect already accounts for this penalty.

What if I lost my paper bond?

Contact the Treasury Department's Bureau of the Fiscal Service with the bond's serial number and issue date. They can issue a replacement bond or process a redemption if the bond has reached final maturity. You will need to provide proof of ownership, such as a purchase receipt or bank statement showing the purchase.

Do I have to pay taxes when I redeem a Series EE bond?

Yes. The interest earned on Series EE bonds is subject to federal income tax. You can report the interest in the year you redeem the bond, or you can report it each year as it accrues — check with a tax professional about which method makes sense for your situation. Series EE bonds are not subject to state or local income tax.

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

If you redeem at a bank, you usually get cash or a check on the spot. If you request a deposit to your account, it takes one to three business days. Digital bonds redeemed through TreasuryDirect take one to three business days to deposit. Mail-in redemptions through the Treasury Department take two to four weeks.

Can I redeem a Series EE bond that belongs to someone else?

Only if you are listed as a co-owner on the bond or have a power of attorney or guardianship document. If the bond is registered to one person only, that person must redeem it or sign a notarized power of attorney authorizing you to do so.