How to Cash In Savings Bonds

You cash in savings bonds in one of two ways: paper bonds go to a bank that redeems them or by mail to the Treasury with FS Form 1522, and electronic bonds are redeemed online from your TreasuryDirect account. If you're asking "how do I cash in savings bonds?", the answer depends on whether your bonds are paper or electronic, how old they are, and how much they're worth.

This guide covers each route step by step, when cashing in costs you interest, which bonds have stopped earning, how the money is taxed, and what to do with lost or inherited bonds. Rules and rates are current as of 2026; it's education, not tax advice.

How do I cash in savings bonds?

Pick the route that matches the bond's form. Paper EE, E, I and HH bonds can be cashed at a bank or by mail; electronic EE and I bonds only through TreasuryDirect.

Before you do anything, find out what each bond is worth with the free Savings Bond Calculator on TreasuryDirect. You'll need the series, denomination and issue date printed on the bond.

Savings bonds are just one of the safe assets beginners use. If you're deciding what to do with the cash afterwards, our beginner's guide to how to start investing shows where bonds, savings and funds each fit.

When can you cash in a savings bond, and is there a penalty?

You can cash EE and I bonds after you've owned them for 12 months, but if you cash in before five years you lose the last three months of interest. After five years there's no penalty.

Example (hypothetical): you cash in an I bond after three years. Your payout includes interest only up to three months before the date you redeem it, so those last three months are forfeited.

Bonds don't earn forever. EE and I bonds earn interest for 30 years, then stop. TreasuryDirect also makes a promise for EE bonds: if an EE bond hasn't doubled in value after 20 years, Treasury adds money at that point to double it. That can make cashing an EE bond shortly before its 20-year date an expensive mistake, so check the issue date first.

For the details of buying and holding I bonds, including how their rate is set, see our I bonds explainer.

How do you cash paper savings bonds at a bank?

Call your bank first, then bring the bonds and identification in person. TreasuryDirect says banks vary in whether they cash savings bonds and in the maximum amount they will cash.

1. Ask before you go: does the branch redeem savings bonds, is there a dollar limit, and do you need to be an existing customer?
2. Bring photo ID and any documents that prove you're entitled to the bond, such as a death certificate if you're a surviving co-owner.
3. Don't sign the bonds in advance. Follow the bank's instructions on where and when to sign.
4. Receive the value in cash or as a deposit, and ask whether the bank charges any fee for the service.

If your bank won't do it, or the total is above its limit, use the mail route below.

How do you cash paper bonds by mail with FS Form 1522?

Fill out FS Form 1522, get your signature certified if the bonds are worth more than $1,000, and mail the form and bonds to Treasury. The address on TreasuryDirect is:

Treasury Retail Securities Services, P.O. Box 9150, Minneapolis, MN 55480-9150.

A few rules to know:

• A paper bond must be cashed for its entire value. You can't take part and keep the rest.
• Signature certification: if the bonds total $1,000 or less, the FS Form 1522 instructions say you can sign the form and enclose a copy of your driver's license, passport, state ID or military ID. Above $1,000, sign in front of a notary or a certifying officer at a US bank or credit union.
• Use trackable mail and keep copies of the front and back of every bond. Lost bonds can be replaced, but it takes a claim and time.

There's also an alternative to cashing: if you have a TreasuryDirect account, you can convert paper EE and I bonds to electronic through its conversion process. You pay the postage, you don't sign the bonds, and the change is one-way. Matured bonds that no longer earn interest are cashed automatically when converted. H and HH bonds can't be converted.

How do you cash electronic savings bonds in TreasuryDirect?

Log in, open ManageDirect, and choose "Redeem securities" under Manage My Securities. The money is sent to the bank account linked to your TreasuryDirect account.

Electronic bonds are more flexible than paper:

• You can cash part of a bond, in amounts of $25 or more to the penny.
• If you cash only part, at least $25 must stay in the bond.
• The same 12-month and five-year rules apply.

Since January 1, 2025, I bonds have been sold electronically only, and new EE bonds are electronic only too, so anyone who bought recently will use this route. If you've lost access to your account, TreasuryDirect's help pages explain how to recover it.

Should you cash in your savings bonds now or keep them?

Cash in any bond that has stopped earning interest; for bonds still earning, compare their rate with your other options. A matured bond just sits there losing value to inflation.

According to TreasuryDirect's May 2026 rate announcement:

• All Series E bonds have matured and stopped earning interest.
• EE bonds issued from January 1980 through May 1996 no longer earn interest.
• EE bonds issued from June 1996 through October 1996 stop earning during the six months to October 2026.
• All HH bonds stopped earning interest in August 2024.

For bonds still earning, here's what newly issued bonds earn for May 1 to October 31, 2026:

Older bonds earn whatever rate applied when they were issued, so look up your own bond's value history in the calculator rather than assuming these numbers. If you're thinking of moving the money into something else, weigh the tax bill (below) and remember that no investment's returns are guaranteed.

How are cashed savings bonds taxed?

Savings bond interest is subject to federal income tax but not state or local income tax. Most owners defer reporting the interest until they cash in, then receive a Form 1099-INT for that year. For TreasuryDirect bonds, it's available in your account under "Manage My Taxes" by January 31 of the following year.

• Co-owners who bought a bond together report the interest in proportion to what each paid.
• Interest can also be subject to federal estate and gift taxes and state estate or inheritance taxes.
• Cashing a large stack of old bonds in one year can push a lot of interest into a single tax return; some owners spread redemptions across years. A tax professional can help you decide.

The education exclusion

You may be able to exclude the interest from federal tax if you use the money for qualified higher education expenses. Under the IRS Education Savings Bond Program, the bonds must be Series EE or I bonds issued after 1989, the owner must have been at least 24 when the bond was issued, you can't file as married filing separately, and you claim it on Form 8815. The exclusion phases out at higher incomes: in 2025, the phase-out ran between $99,500 and $114,500 of modified adjusted gross income for single filers and $149,250 to $179,250 for joint filers. Check the current-year Form 8815 for updated limits.

You can also move cashed bond proceeds into a 529 plan or Coverdell account. Before you do, see which 529 plan qualified expenses count so the money is used in a way that stays tax-free.

Outside the US, savings products work differently: the UK has Premium Bonds and fixed-rate savings bonds through NS&I, and Canada and Australia have their own government and bank products. Check your national government's site for how to cash them.

What if your savings bonds are lost, inherited or unclaimed?

Lost, stolen or destroyed bonds can be claimed with FS Form 1048, and inherited bonds follow rules based on who's named on the bond.

• Lost or destroyed: file FS Form 1048, signed by everyone named on the bonds. Replacement EE and I bonds are issued electronically, not on paper. If a matured or HH bond is involved, payment is the only option.
• Inherited: if you're the named co-owner or beneficiary, the bond is yours without going through the estate. If not, the process depends on whether the estate goes through a court; TreasuryDirect uses $100,000 in total Treasury securities as a dividing line. For electronic bonds, contact TreasuryDirect, which puts a hold on the account and explains the next steps.
• Unclaimed: the Treasury Hunt search tool was retired on September 30, 2025. TreasuryDirect now points people to its savings bond forms to submit a claim.

Be wary of anyone who contacts you offering to find or cash "unclaimed" bonds for a fee or asking for your Social Security number. The official forms are free on TreasuryDirect. Our guide on how to avoid investment scams covers the warning signs.

Next steps

• List every bond you have with its series and issue date, and run them through the Savings Bond Calculator.
• Cash in anything that has stopped earning interest, using your bank or FS Form 1522.
• Decide where the money goes next with our investing for beginners guide.
• If you'd like to build more savings to invest, explore our guide to making money online, keeping in mind that results depend on effort and time.