How to Cash Paper Savings Bonds in 2026
What you need to know when redeeming old savings bonds.
1What Are Paper Savings Bonds?
Paper savings bonds have been U.S. government investment instruments since 1935. There are two types: Series EE and Series I. These bonds work as loans to the government and earn interest for 30 years. Bonds older than 30 years stop accruing interest. New paper bonds are no longer issued today.
2How to Check Your Bond's Value
To find your paper bond's current value, use the Savings Bond Calculator at TreasuryDirect.gov. Enter the series number, denomination, and issue date printed on the bond to calculate its worth. Billions in matured but unredeemed bonds are estimated to still be outstanding.
3Redeeming at a Bank
The first way to cash paper bonds is through a bank or credit union. However, fewer banks offer this service each year. Most only redeem bonds for customers with accounts open for at least 12 months. There may also be per-transaction limits. Always call your bank first to learn their policies.
4Mailing to the Treasury
If banks refuse, you can mail bonds to the Treasury using FS Form 1522. For amounts under $1,000, a copy of your ID suffices. Larger amounts require signature certification by a bank officer. Processing typically takes 6 weeks or longer.
5When to Redeem
If your bond is over 30 years old and no longer earning interest, cashing it may be wise as inflation erodes its value. You might also redeem early for better investment opportunities or urgent cash needs. However, redeeming before 5 years forfeits the last 3 months of interest.
6Tax Implications
Savings bond interest is subject to federal income tax but exempt from state/local taxes. Most people report all interest in the redemption year. Banks provide Form 1099-INT. Tax advantages may apply if used for education expenses.
7Digital Conversion Option
Instead of cashing, you can convert paper bonds to electronic ones via TreasuryDirect's SmartExchange feature, making future tracking and redemption easier. For potentially lost bonds, use TreasuryDirect.gov's free Treasury Hunt search tool.
Original article: The College Investor — 2026'da Kağıt Tasarruf Bonoları Nasıl Nakde Çevrilir?