How to Cash in a Series EE Bond

You can cash a Series EE bond at most banks, credit unions, and the U.S. Treasury

A Series EE bond is a savings bond issued by the U.S. Treasury. When you want the money back, you have three main routes: take it to a bank or credit union, mail it to the Treasury, or redeem it online through TreasuryDirect if you own it there. The fastest way is usually your own bank, which can process it the same day. You will need the physical bond itself (if you own a paper bond) or access to your TreasuryDirect account (if it is electronic).

The amount you receive depends on when the bond was issued and how long you have held it. Series EE bonds earn interest monthly, so a bond worth $50 when you bought it might be worth $75 or $100 later. The Treasury publishes the current value of every bond issued, and you can look up yours before you cash it.

Key Takeaways

Banks and credit unions cash Series EE bonds on the spot if you bring the physical bond and a valid ID, usually with no fee.
You can mail a paper bond to the Treasury's Bureau of the Fiscal Service with a form, though it takes two to four weeks to receive payment.
If your bond is in a TreasuryDirect account, you can redeem it online instantly and have the money deposited to your bank account within one business day.
Series EE bonds held for less than five years lose three months of interest as a penalty, so check the issue date before you cash.
You will owe federal income tax on the interest your bond earned, though not state or local tax.

Cashing a paper bond at a bank or credit union

Walk into any bank or credit union where you have an account and ask to redeem your Series EE bond. Bring the physical bond and a valid photo ID. The teller will verify the bond's current value using the Treasury's lookup tool, fill out a simple form, and give you cash or deposit the money into your account. This usually takes 10 to 15 minutes and costs nothing.

If you do not have an account at that bank, some will still cash it, but policies vary. Call ahead to ask. A few banks charge a small fee (usually $5 to $10) to cash a bond for non-customers, though many do not. Credit unions are often more flexible about this than large banks.

Do not write anything on the bond itself. If the bond is torn, faded, or damaged in a way that makes it hard to read the serial number or issue date, the bank may refuse it or send it to the Treasury for verification, which adds weeks to the process.

Redeeming a bond through TreasuryDirect online

If you own your Series EE bond through a TreasuryDirect account (the Treasury's online platform), you can redeem it without leaving home. Log into your account at treasurydirect.gov, find the bond in your holdings, and select the option to redeem it. The system will ask you to confirm the amount and the bank account where you want the money sent.

The Treasury will deposit the money into your linked bank account within one business day. You will see the bond removed from your account immediately, but the actual transfer to your bank takes until the next business day. There is no fee for this, and you do not need to print or mail anything.

If you have forgotten your TreasuryDirect password, you can reset it on the login page using your Social Security number and email address. If you cannot remember which email address you used to set up the account, contact the Treasury's customer service line at 844-284-2676.

Mailing a paper bond to the Treasury

You can mail a paper Series EE bond directly to the Bureau of the Fiscal Service, which is part of the Treasury Department. You will need to fill out Form PD 1239, which is a one-page form asking for your name, address, Social Security number, and the bond's serial number and issue date. You can download the form from treasurydirect.gov or request it by phone.

Mail the completed form and the physical bond together to the address listed on the form (currently the Bureau of the Fiscal Service, P.O. Box 2186, Parkersburg, WV 26106-2186). Include a cover letter with your name and phone number so they can contact you if there is a problem. Do not send cash or use certified mail; regular mail is fine.

The Treasury will verify the bond, calculate its current value, and mail you a check. This process takes two to four weeks from the day they receive your package. If you need the money sooner, this is not the fastest route.

Understanding the five-year penalty

Series EE bonds are designed to be held for a long time. If you cash a bond before it has been held for five years, you lose the last three months of interest. For example, if you bought a bond on January 15, 2023, and cashed it on March 1, 2024 (just over one year), you would receive the value as of October 15, 2023, not March 1, 2024.

Check the issue date on your bond before you cash it. If it has been five years or longer since the issue date, there is no penalty. If it has been less than five years, you can decide whether the penalty matters to you. For bonds held only a few months, the penalty can be significant. For bonds held four years and eleven months, the penalty is usually small.

What happens to the interest for taxes

When you cash a Series EE bond, the interest you earned is subject to federal income tax. The principal (the amount you originally paid) is not taxed again. You will receive a Form 1099-INT from the Treasury or your bank showing how much interest was earned, and you report that on your federal tax return.

Series EE bonds are not subject to state or local income tax, even if you live in a state that taxes other interest income. This is one reason some people use them for savings.

You can choose to report the interest in the year you cash the bond, or you can report it each year as it accrues (builds up). Most people wait until they cash the bond to report it all at once. Talk to a tax professional if you have questions about which approach works for your situation.

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

If you own a paper Series EE bond but cannot locate the physical copy, you can still redeem it. Contact the Bureau of the Fiscal Service at 844-284-2676 or visit treasurydirect.gov. You will need to provide the serial number (if you have it), the issue date, and the denomination (the amount you paid for it). The Treasury can look up the bond in their records and issue you a replacement or process a redemption without the physical bond.

This process takes longer than walking into a bank with the bond in hand—usually four to eight weeks—because the Treasury has to verify that you are the rightful owner. Be prepared to provide proof of identity and possibly proof that you purchased the bond (like a receipt or bank statement showing the purchase).

If the bond was registered to someone else and they have passed away, the process is different. Contact the Treasury directly to learn what documents they will need from the estate.

Frequently Asked Questions

Can I cash a Series EE bond before it reaches face value?

Yes. A Series EE bond will eventually reach face value (double what you paid), but you can cash it anytime after you own it. If you cash it early, you simply receive whatever it is worth at that moment, which may be less than face value. If you hold it past face value, it continues earning interest up to 30 years from the issue date.

What if the bank says they cannot cash my bond?

Some smaller banks or branches do not have the tools to verify bonds. Ask to speak to a manager, or try a different branch of the same bank, or visit a credit union. If no local institution will cash it, you can always mail it to the Treasury or redeem it through TreasuryDirect if you have an account there.

Do I need to report cashing a bond to anyone besides the IRS?

No. You report the interest income on your federal tax return, but you do not need to notify any other agency. The Treasury and your bank handle the transaction between themselves.

Can someone else cash my Series EE bond for me?

If the bond is registered in your name only, the person cashing it must be you or have a power of attorney document signed by you. If the bond is registered as "you or your spouse," either of you can cash it. If it is registered to a minor, a parent or legal guardian can cash it. Bring the relevant documents (power of attorney, marriage certificate, birth certificate) along with the bond and ID.

What if I want to cash only part of a bond?

You cannot split a Series EE bond. You must cash the entire bond at once. If you want to keep some of the money invested, you would need to buy a new bond after you cash the old one.

This guide is for general information only and is not medical, financial, legal, or other professional advice. For decisions specific to your situation, consult a qualified professional. See our Editorial Policy.