Sale of Paper Series EE and I Savings Bonds
The US Department of the Treasury has announced it will end over- the- counter sales of paper savings bonds on December 31, 2011. Ending sales of paper bonds will save an estimated $70 million over the next 5 years. Customers will have until the close of business on December 31, 2011 to submit paper purchase applications. After that, savings bonds will remain available for purchase ONLY as an electronic issue through the Treasury Direct website.
Beginning January 2, 2012 financial institutions cannot accept or transmit any savings bonds orders. We can assist customers with purchasing the bonds through the Treasury Direct website but as a financial institution we cannot accept or transmit any orders. We will continue to redeem paper bonds using the same process we currently do while electronic issued bonds can only be redeemed by the customer using Treasury Direct.
What is Treasury Direct? Treasury Direct is a secure Web-based system that allows customers to establish accounts to purchase, hold, and manage Treasury securities online. They can purchase Series EE and I savings bonds, etc. Treasury Direct has a gift feature so customers can buy electronic savings bonds as gifts. The recipient of the gift must have a Treasury Direct account (or be named on a minor linked account if under 18 years old) to receive the gift. Customers can hold bonds in the Gift Box area in Treasury Direct until the bonds are electronically delivered. Customers must have a checking or savings account at a financial institution to pay for the bond via an ACH transaction. Credit cards are not accepted as payment. For more information, visit www.treasurydirect.gov.