The time it takes a savings bond to reach face value depends on the series of bond and the value at which it was sold. There are three different series of bonds. EE bonds are sold for half of face value, and the U. Treasury Department guarantees that they will reach face value after 20 years. If the interest payments don't cause the bond to reach full face value at the end of 20 years, the government will do a one-time adjustment to bring the bond's value to equal face value. It's important to keep in mind, however, that EE bonds must be owned for at least one year before redemption.
How long will it take for a savings bond to reach its face value?
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Why Zacks? Learn to Be a Better Investor. Forgot Password. The U. Treasury recommends EE bonds as a safe and patriotic investment with the full backing of the U. Paper EE bonds used to be available through savings institutions, but now the Treasury sells electronic EE bonds online at TreasuryDirect.
Series EE savings bonds are issued with a cost that is one-half the face amount. The U. Treasury guarantees that your bond will double in value to reach face value after 20 years.
We're pleased to hear from our customers regarding their satisfaction with our website. Although your browser settings don't allow you to view the website survey we're conducting, please e-mail your comments. EE Bonds issued in May and after earn interest for up to 30 years. They earn a fixed rate of interest. For the first 20 years, EE bonds earn the same fixed rate that was set when the bond was issued.