Where to cash your savings bond

You can cash a 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 itself and a valid photo ID — a driver's license, passport, or state ID card. The teller will verify the bond is genuine, check that it has reached its final maturity date (or that you're past any penalty period for early withdrawal), and give you the cash or deposit it into an account you name.

If you don't want to visit a bank in person, you can redeem Series I and Series EE bonds through TreasuryDirect, the U.S. Department of the Treasury's online system. You'll need to set up an account, link a bank account for the deposit, and submit the bond electronically. This route takes a few business days but avoids a trip.

Some employers and credit unions also offer bond-cashing services to their members or employees, though availability varies. Call ahead to confirm before you go.

Key Takeaways

  • Any bank or credit union will cash your bond during business hours if you bring the physical bond and a photo ID, regardless of whether you have an account there.
  • Series I and Series EE bonds can be redeemed online through TreasuryDirect if you prefer not to visit a bank in person.
  • Bonds issued before their final maturity date may have a penalty — typically three months of interest — if you cash them early.
  • The bank will verify the bond's authenticity and maturity status before handing over the money.

What happens when you cash the bond

The teller will examine the bond to confirm it's real and check the issue date and series. They'll verify that the bond has matured or that you meet the conditions for early redemption. If everything checks out, they'll calculate the redemption value — the original purchase price plus all the interest earned — and offer you the cash on the spot.

You can take the money as cash, or ask the bank to deposit it into a checking or savings account. If you deposit it into an account at that bank, the process is instant. If you want it deposited elsewhere, the bank may issue a check instead, which you can deposit at your own bank.

Early redemption and penalties

Most savings bonds reach a final maturity date — usually 30 years after issue — at which point you can cash them without penalty. Before that date, you can still redeem the bond, but you'll typically lose three months of interest as a penalty.

Series EE bonds, for example, have a 20-year original maturity. If you cash one at year 15, you forfeit three months of the interest you've earned. The bank calculates this automatically and deducts it from your redemption value.

Series I bonds have a one-year holding period: you cannot redeem them at all during the first year you own them. After that, you can cash them anytime, but you'll lose three months of interest if you redeem before five years have passed.

What to bring to the bank

Bring the physical bond itself — the actual paper certificate or, for electronic bonds, proof of ownership from your TreasuryDirect account. Bring a valid photo ID issued by a state or federal government: a driver's license, passport, military ID, or state ID card. Some banks may ask for a second form of ID or proof of address, though this is less common.

If someone other than the registered owner is cashing the bond — a spouse, adult child, or executor of an estate — bring documentation showing that person's authority. A power of attorney, marriage certificate, or court-issued letter of administration will work, depending on the situation.

Cashing bonds registered to someone else

If a bond is registered in your name but you're cashing it on behalf of a minor or an incapacitated person, you'll need legal documentation. A parent or guardian can cash a bond registered to a child by bringing the child's birth certificate or adoption papers and their own ID. An executor or administrator of an estate can cash bonds belonging to the deceased by bringing the death certificate and the court order appointing them.

If you hold power of attorney over someone else's finances, bring the original power of attorney document or a certified copy. The bank will review it to confirm it covers financial transactions and hasn't expired.

Tax reporting when you cash a bond

When you redeem a savings bond, the interest you've earned is subject to federal income tax. The bank does not withhold taxes automatically — you'll owe the tax when you file your return for the year you cashed the bond.

The bank will not send you a tax form for the redemption. Instead, you'll report the interest income yourself on your federal tax return. If you're unsure how much interest you earned, TreasuryDirect can calculate it for you, or the bank can provide a statement showing the redemption value and original purchase price.

Some states also tax savings bond interest, though the rules vary. Check with your state tax authority or a tax professional if you live in a state with income tax.

If your bond is lost, stolen, or damaged

If you've lost a paper bond or it's been damaged beyond recognition, contact TreasuryDirect or the bank where you plan to redeem it. You'll need to file a claim with proof of ownership — your purchase records, bank statements showing the purchase, or correspondence from the Treasury. The process can take several weeks.

If a bond was stolen, report it to the Treasury and to local police. The Treasury can flag the bond in its system to prevent someone else from cashing it. Bring the police report when you file your claim.

Electronic bonds held in TreasuryDirect are not subject to loss or theft in the same way, since they exist only in your online account. If your TreasuryDirect account is compromised, change your password immediately and contact customer support.

Frequently Asked Questions

Can I cash a savings bond at any bank?

Most banks and credit unions will cash a savings bond for you, even if you don't have an account there. Call ahead to confirm, as some smaller institutions may have restrictions or may ask you to come during specific hours.

What if the bond is in both my name and someone else's name?

If the bond is registered as "co-owners," either owner can usually redeem it alone. If it's registered as "owner with beneficiary," only the owner can cash it during their lifetime. Bring the bond and your ID; the bank will verify the registration and tell you whether you can proceed.

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

Savings bonds are redeemed in full — you cannot cash a portion and keep the rest earning interest. If you want to keep some money invested, you would need to purchase a new bond after cashing the old one.

How long does it take to get the money after I cash a bond?

If you take cash or deposit into an account at that bank, you get the money immediately. If you ask for a check to deposit elsewhere, the check is issued on the spot, but it takes one to three business days to clear at your own bank.

What if my bond has matured but I haven't cashed it yet?

Bonds stop earning interest at their final maturity date. If you hold it past that date, you're not losing money, but you're also not earning anything. Cash it whenever you're ready — there's no penalty for redeeming a fully matured bond.