Savings Guide

Savings Section


 


Social bookmarking
You like it? Share it!
socialize it

Newsletter

Subscribe to our newsletter AND receive our exclusive Special Report on Savings
Email:
First Name:



Main Savings sponsors


 

Latest Savings Link Added

INSERT YOUR OWN BANNER HERE

Submit your link on Savings!



Welcome to Savings Guide

 

Savings Article

Thumbnail example. For a permanent link to this article, or to bookmark it for further reading, click here.

What is a Savings Bond?

from:

Introduction

The government and authorities of the United States offers it citizens a vast number of opportunities for savings and enhancement of their income. From high-interest investments to those with a moderate-level interest but secure investments, such schemes have all sorts of saving opportunities to its citizens, a savings bond being one of the most popular of its kind.

By definition, a savings bond is basically a debt security, issued by the US Department of the Treasury in order to fund the U.S. government’s borrowing needs.

Categories of Bonds

Though the categories might undergo a change over a period of time, yet at the present there are three main categories of a savings bond in the US.

Below, we’ve included a brief description of each one of these.

a) SERIES EE BONDS – This type of a savings bond is purchased at a discount of half to its face value. The government places an upper limit of the bonds worth $5,000 (at face value) in a particular year, for this category of a savings bond.

b) SERIES OF HH BONDS – A savings bond belonging to this category can only be purchased in exchange of the Series EE or E bonds, Savings notes or with the proceeds of a matured Series HH bonds.

c) SERIES I BONDS – This type of a savings bond is sold at face value and grows with the inflation-indexed earnings for period going upto 30 years.

The Benefits

A savings bond is associated with a vast series of benefits for its customers. Here we’ve briefly listed the main benefits associated with the purchase of a savings bond:

i) Extremely safe and secure, having full government faith and support
ii) Federal taxes on the interest amount can be deferred till the time the buyer actually cashes in the bond
iii) Such a savings bond is exempt from the state and local taxes, augmenting the customers savings even further
iv) As they are registered with the U.S. Treasury’s Bureau of Public Debt, this type of a savings bond can be easily replaced in case it is lost, stolen, destroyed or mutilated.
In addition, these bonds can be easily purchased from the commercial banks or through an employer by payroll deductions. These bonds can also be redeemed at many of the banks or alternatively, directly with Federal Reserve Bank. Such type of a savings bond can also be registered to a different set of people, in capacities including individual, joint and other forms of partnership.

Having a comprehensive support system form the government, a savings bond is surely one of the safest and trustworthy forms of investments in the US.
??

??

??

??




1




Other Savings related Articles

United States Savings Bonds
US Savings Bonds
Daylight Savings
US Savings Bond
Health Savings Account

Do you want to contribute to our site : submit your articles HERE


Savings Specific links

Savings News

Survey Finds Grim Outlook on Savings in Europe - Wall Street Journal


Wall Street Journal

Survey Finds Grim Outlook on Savings in Europe
Wall Street Journal
The GfK Investment Barometer survey documents the effects that the lingering debt malaise and unprecedented global economic turmoil have had on investing strategies and savings of 9764 individuals in 10 European countries and the US It was conducted by ...

and more »

Read more...


Cuomo's Medicaid Proposal Would Help Provide Extra Savings For State - NY1


NY1

Cuomo's Medicaid Proposal Would Help Provide Extra Savings For State
NY1
One of Governor Andrew Cuomo's major proposals this year is for the state to pay for any new growth of Medicaid for the state's counties, and while that may sound costly, the plan is actually expected to help provide over $1 billion in savings for the ...

and more »

Read more...


Belmont Savings Bank Announces New Branch Inside Shaw's - MarketWatch (press release)


Belmont Savings Bank Announces New Branch Inside Shaw's
MarketWatch (press release)
8, 2012 /PRNewswire via COMTEX/ -- BSB Bancorp, Inc., the holding company for Belmont Savings Bank, today announced a partnership with Shaw's Supermarket to open an in-store branch at Shaw's location at 1070 Lexington Street in Waltham.

and more »

Read more...


A Drive to Bring Back Paper Savings Bonds Languishes Online - New York Times (blog)


New York Times (blog)

A Drive to Bring Back Paper Savings Bonds Languishes Online
New York Times (blog)
By ANN CARRNS Mr. Prosser, founder of a bond education Web site called Learnbonds.com, has started an online petition to ask the United States Treasury Department to bring back paper savings bonds. As we've noted here at Bucks, the department's Bureau ...

and more »

Read more...


Mild winter causing utility savings across area - Dayton Daily News


Mild winter causing utility savings across area
Dayton Daily News
By Cornelius Frolik, Staff Writer 10:56 PM Wednesday, February 8, 2012 Stretches of unseasonably warm weather in the Dayton area and Ohio on average has led to lower residential electric and heating costs, and the savings could continue because ...

and more »

Read more...