You cannot deposit a savings bond directly into a checking account

A savings bond is not money yet — it is a promise from the U.S. government to pay you money on a future date or when you request it. Your bank cannot accept it as a deposit the way it accepts a check or cash, because the bank cannot turn it into funds when ready. You have to cash the bond first, which means converting it into actual dollars, and then deposit those dollars into your checking account.

The process has two separate steps: redeem the bond, then deposit the cash or check. Most people can complete both steps in one visit to their bank, but they happen as two different transactions.

Key Takeaways

  • Savings bonds must be cashed before the money can go into your checking account — you cannot deposit the bond itself.
  • You can redeem most savings bonds at your bank's teller window without an appointment, though you will need to bring the physical bond and a photo ID.
  • The bank will give you cash or a check for the bond's current value, which you can then deposit into your checking account when ready.
  • Series EE and Series I bonds (the most common types) can only be redeemed after one year of ownership, and you lose the last three months of interest if you cash them before five years.

How to cash a savings bond at your bank

Walk into any bank branch where you have an account and ask to redeem a savings bond. Bring the physical bond itself and a photo ID — a driver's license or passport works. You do not need an appointment. The teller will look up the bond's current value (which depends on the type of bond and how long you have owned it) and offer you the money.

You can take the cash directly and deposit it into your checking account at the same teller window, or ask the teller to write you a check for the bond's value. If you take a check, you can deposit it into your checking account right then, or take it with you to deposit later. Either way, the money will be in your checking account within one to two business days.

Not all banks redeem savings bonds — some smaller banks or credit unions do not have the systems in place. If your bank cannot do it, call ahead to find a bank branch that can, or contact the U.S. Department of the Treasury's Bureau of the Fiscal Service to ask about other options.

What happens if your bond is not yet old enough to cash

Series EE bonds and Series I bonds (the two most common types issued in recent years) cannot be redeemed until you have owned them for at least one year. If you try to cash one before that year is up, the bank will turn you down. You will have to wait until the one-year mark has passed.

If your bond is older than one year but younger than five years, you can cash it, but you will lose the last three months of interest. For example, if you have owned a bond for two years, you will receive the value as of two years minus three months — essentially, you get paid through the 21-month mark instead of the 24-month mark. This penalty exists to discourage early cashing. After five years, you can cash the bond without losing any interest.

If you cannot find the physical bond

If you own a savings bond but do not have the paper certificate in your hands, you may still be able to cash it. The U.S. Treasury keeps records of bonds registered in your name. You can contact the Treasury's Bureau of the Fiscal Service directly to look up bonds in your name and request a replacement certificate or a direct payment.

This process takes longer than walking into a bank — typically several weeks — because the Treasury has to verify your identity and ownership. You will need to provide your Social Security number and information about the bond (the series, the denomination, and the issue date if you remember it). Once the Treasury confirms the bond is yours, they can issue a replacement certificate or send you a check, which you can then deposit into your checking account.

What to know about bonds registered to a minor

If a savings bond is registered in a child's name, the parent or legal guardian can cash it on the child's behalf, but the bank will ask for proof of guardianship. Bring the child's birth certificate and your ID. Some banks may also ask for a court order or custody document if the guardianship is not obvious from the birth certificate.

If the bond is registered in both the parent's name and the child's name, either person can cash it alone — the bank does not require both signatures. If you are unsure how the bond is registered, look at the certificate itself; the registration appears near the top.

Why you might want to deposit the money into checking instead of savings

A checking account is designed for money you plan to spend soon, while a savings account is designed for money you want to keep and grow. If you are cashing a bond because you need the money for an upcoming expense — a medical bill, a car repair, or rent — depositing it into checking makes sense because you can access it when ready with your debit card or by writing a check.

If you are cashing a bond but do not need the money right away, you might consider depositing it into a savings account instead, where it can earn interest. However, interest rates on savings accounts are usually much lower than the rates on savings bonds, so this is mainly useful if you want the flexibility to withdraw the money without penalty.

Frequently Asked Questions

Can I deposit a savings bond into someone else's checking account?

No. When you cash a bond, the bank will issue the check or cash in your name (or the name of whoever is registered as the bond's owner). You can only deposit it into an account in your own name. If you want to give the money to someone else, cash the bond, deposit it into your account, and then transfer the funds to them.

What if the bank says they cannot redeem my bond?

Some banks do not have the equipment or authorization to redeem savings bonds. Ask the teller if another branch in the same bank system can do it, or call the Treasury's Bureau of the Fiscal Service at 1-844-284-2676 to find a bank near you that can. You can also mail the bond to the Treasury directly, though this takes several weeks.

Will cashing my bond affect my taxes?

Yes. Savings bonds earn interest, and that interest is taxable income in the year you cash the bond. You will receive a Form 1099-INT from the bank or Treasury showing the interest amount, which you must report on your tax return. Keep records of when you bought the bond and when you cashed it so you can calculate the interest correctly.

Can I deposit a bond into a joint checking account?

Yes, as long as you are one of the account holders. Cash the bond at your bank, and the teller will give you the funds in your name. You can then deposit those funds into any checking account where you are listed as an owner.