The figure that matters is 30. A U.S. savings bond stops earning interest exactly 30 years after the issue date printed on its face, and the Treasury’s Bureau of the Fiscal Service says billions of dollars in matured, unredeemed bonds are still out there.
That covers Series EE, Series I and Series HH, the bonds most families hold. Anything in a parent’s drawer dated more than 30 years back has been idle for some time. The terms are set out in 31 CFR Parts 351, 359 and 360.
The tax bill arrives anyway
Most owners chose deferred reporting, so they never paid tax on the interest as it built up. Under IRS Publication 550 and Internal Revenue Code Section 454, that interest becomes taxable in the year the bond is cashed or the year it hits final maturity, whichever comes first. A bond that reached year 30 in 2022 therefore triggered a taxable event that year, cashed or not. The 247 Wall St. report advises taking the bonds and dates to a CPA.
By the numbers, waiting costs money. The 10-year Treasury yield stood at 4.79% on September 2, 2026. The FDIC national average for a 12-month CD paid 1.71% as of August 1. A matured bond earns nothing, while July’s CPI reading of 332.8 keeps eating into cash that sits still.
Checking and cashing
Start by sorting the bonds by series letter and issue date. Treasury Hunt at TreasuryDirect.gov is the official search tool for matured, unredeemed bonds, and the TreasuryDirect Savings Bond Calculator gives a current value and shows whether interest is still accruing.
Paper bonds can be redeemed at a bank where the owner has an established account, though banks may cap over-the-counter redemptions, often at $1,000 for non-customers. Larger amounts, inherited bonds and estate redemptions go through FS Form 1522, mailed to the Treasury with a certified death certificate and notarized signatures.
Bonds still earning interest can be a different story. Owners with qualifying college costs may ask a CPA about the education interest exclusion under IRC Section 135, which carries income phase-outs and filing-status limits and requires that the bond owner was at least 24 at issuance.
Sources
- Billions in U.S. Savings Bonds Have Stopped Earning Interest and Their Owners Don't Know It. The Ones in Your Parents' Drawer Went Silent at Exactly Year 30
- Hold or Fold Older US Savings Bonds?
