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How Late In The Month Can You Buy Savings Bonds

Friday, May 20, 2011 - 8:08 AM
As I’ve mentioned several times before, you can optimize your savings bond purchases by buying them late in the month and redeeming them at the start of the month. But you have to make sure you don’t wait too close to the end of the month or the issue date will be pushed into the next month. My Money Blog has a good summary of how close you can go. It references my savings bond experiment. I was able to get an April issue date by purchasing an I Bond at on the second to last business day of April (I purchased it on Thursday April 28).
Ken TuminKen Tumin5,471 posts since
Nov 29, 2009
Rep Points: 125,634
1. Wednesday, May 25, 2011 - 8:29 AM
Today I opened an account with TreasuryDirect, and got a rather nasty surprise. I had expected to set up the account and purchase the savings bond in a single application, but learned only after opening the account that I must wait to receive an access card in the mail, which could take up to 2 weeks, in order to login and access the account. This is an important detail of which first time account applicants with TreasuryDirect would be unaware! I had waited until today because I had a CD maturing yesterday, and figured that I would need the funds available in order to purchase the savings bond. Had I known that the account opening and the savings bond purchase would be separate transactions, I would have opened the account earlier. Now I won't be able to purchase the savings bond until June, and have been foiled in the late in the month strategy for purchasing I Bonds!
WilWil242 posts since
Feb 26, 2010
Rep Points: 1,285