U.S. Savings Bonds (Series EE) offer members a safe, long-term, tax deferred option for saving. They are Treasury securities that earn interest through periodic increases in value up to 30 years and are backed by the Federal Government. Earnings are exempt from state taxes and federal taxes can be deferred until the bond is cashed or reaches final maturity.
The purchase price for EE savings bonds is 50% of the face value of the bond. They are available in denominations of: $50, $75, $100, $200, $500, $1,000, $5,000, and $10,000.
Annual limit of $15,000 purchase per person applies to EE bonds. There are no fees for purchasing or redeeming them. Bond purchases have ownership/beneficiary, resident and tax identification number restrictions. They are not transferable, but may be reissued under limited circumstances. Bonds that are proven to be lost, stolen, mutilated, or destroyed can be replaced free of charge and funds may be available after 6 months from issue.
Since Savings bonds can take about 15 business days for delivery, we suggest EACU gift certificates if the Savings Bond is a gift. Bonds purchased as gifts require the correct SSN and spelling of the recipient's name.
