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TREASURY SECURITIES & PROGRAMS

Treasury Bonds

Treasury bonds pay a fixed rate of interest every six months until they mature. They are issued in a term of 30 years.

You can buy Treasury bonds from us in TreasuryDirect. You also can buy them through a bank or broker. (We no longer sell bonds in Legacy Treasury Direct, which we are phasing out.)

You can hold a bond until it matures or sell it before it matures.

Use Treasury bonds to:

  • Diversify your investment portfolio
  • Finance education
  • Supplement retirement income
at a glance
Original Issue Rate: The yield determined at auction. See rates in recent auctions
Minimum Purchase: $100
Maximum Purchase
(in a single auction):
Non-competitive: $5 million
Competitive: 35% of offering amount
(See types of bidding in "Auctions in Depth")
Investment Increments: Multiples of $100
Issue Method: Electronic

Rates & Terms

  • Bonds pay interest every six months until they mature. When a bond matures, the owner is paid the face value of the bond.
  • Bonds can be held until maturity or sold before maturity.

Redemption Information

  • Minimum Term of Ownership: In TreasuryDirect, 45 days
  • Interest Earning Period: To maturity

Tax Considerations

  • Interest income is exempt from state and local income taxes.
  • Interest income is subject to federal income tax.

Treasury Bonds-Related FAQs

  • How can I place a competitive bid for a Treasury bond?
  • How do I transfer a Treasury bond from Legacy Treasury Direct to TreasuryDirect?
  • Do some Treasury bonds still exist in paper form?

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