Comments on: Savings Bond annual purchase limits reduced to $5,000 http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/ Thu, 18 Mar 2010 09:18:15 +0000 http://wordpress.org/?v=2.0.4 by: Tom Adams http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-36211 Tue, 17 Feb 2009 16:03:39 +0000 http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-36211 Jarrett - While I totally agree with you that the annual purchase limits on Savings Bonds are a disgrace, it's important to understand the relative size of these debts. All Savings Bonds outstanding, including accrued interest, are worth about $200 billion. A "war bond" type effort might be able to double that, but $200 billion has become peanuts compared to the public and private debts of US citizens. Tom Adams Jarrett - While I totally agree with you that the annual purchase limits on Savings Bonds are a disgrace, it's important to understand the relative size of these debts. All Savings Bonds outstanding, including accrued interest, are worth about $200 billion. A "war bond" type effort might be able to double that, but $200 billion has become peanuts compared to the public and private debts of US citizens.

Tom Adams

]]> by: Jarrett http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-36203 Tue, 17 Feb 2009 05:43:49 +0000 http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-36203 I want to do my patriotic duty and help my country in this time of financial crisis. Instead of borrowing $8,000,000,000,000 from China and other nations, why not let American citizens hold most if not all of that debt. I know I have America's best interest in my heart so let me buy more bonds! Raise the cap! I want to do my patriotic duty and help my country in this time of financial crisis. Instead of borrowing $8,000,000,000,000 from China and other nations, why not let American citizens hold most if not all of that debt. I know I have America's best interest in my heart so let me buy more bonds! Raise the cap!

]]> by: Tom Adams http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-34917 Mon, 19 Jan 2009 16:18:25 +0000 http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-34917 Mark - see the comments <a href="http://www.savings-bond-advisor.com/paper-savings-bonds-to-become-electronic/" rel="nofollow">here</a> for more on this issue. Mark - see the comments here for more on this issue.

]]> by: Mark http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-34784 Fri, 16 Jan 2009 16:46:06 +0000 http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-34784 In 2008, I purchased a $5,000 paper I bond and $5,000 through TreasuryDirect. After I received the paper bond, I completed paperwork to convert it to electronic form and mailed in the form and bond. The bond was mailed back to me with a statement that I had already purchase my $5,000 limit in electronic form, so a conversion was unallowed. In 2008, I purchased a $5,000 paper I bond and $5,000 through TreasuryDirect. After I received the paper bond, I completed paperwork to convert it to electronic form and mailed in the form and bond. The bond was mailed back to me with a statement that I had already purchase my $5,000 limit in electronic form, so a conversion was unallowed.

]]> by: Jon http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-19693 Thu, 24 Apr 2008 14:18:05 +0000 http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-19693 I believe the Treasury has undergone a prolonged systematic attempt to dismantle the savings bond program. It seems that every time they tinker with it, the tinkering diminishes the program's value. When I e-mail the savings bonds folks questioning the changes they make, they seem to always provide weak justifications for the changes. For example, their attempt to eradicate the paper bond was to save money on paper. We spend billions a month on a needless war and we're worried about the cost of the paper that is involved with a savings bond program? The paper for savings bonds cost us more billions per month than the war? Give me a break!! ...And I won't even go into the billions spent on pork-barrel projects... The drop in the limit on I-Bond purchases to $5000 was to encourage the small investor who may have only 50 or 100 dollars to invest. The 50 and 100 dollar denominations were in place before the drop in the limit and they're still there now. So what did the change bring in that regard? When I look at what my $10,000 I-bonds have done in the past 8 years I think I can see the real answer to the limit change. The interest rates were great! The Bush government runs on credit and it has no problem using the Treasury to bail out big business (and big campaign contributors) with liberal credit. I guess we live in an age when saving isn't cool. But it sure is nice to know about those 10K I-Bonds being secure when I see the stock market dropping, overextended mortages resulting in defaults, credit card debt soaring, and credit bubbles bursting as though it's Saturday night with Lawrence Welk! I long for the old days when I could purchase a $10,000 paper I-Bond online using my cash-back credit card. Those were the days! I believe the Treasury has undergone a prolonged systematic attempt to dismantle the savings bond program. It seems that every time they tinker with it, the tinkering diminishes the program's value. When I e-mail the savings bonds folks questioning the changes they make, they seem to always provide weak justifications for the changes. For example, their attempt to eradicate the paper bond was to save money on paper. We spend billions a month on a needless war and we're worried about the cost of the paper that is involved with a savings bond program? The paper for savings bonds cost us more billions per month than the war? Give me a break!! …And I won't even go into the billions spent on pork-barrel projects…

The drop in the limit on I-Bond purchases to $5000 was to encourage the small investor who may have only 50 or 100 dollars to invest. The 50 and 100 dollar denominations were in place before the drop in the limit and they're still there now. So what did the change bring in that regard?

When I look at what my $10,000 I-bonds have done in the past 8 years I think I can see the real answer to the limit change. The interest rates were great!

The Bush government runs on credit and it has no problem using the Treasury to bail out big business (and big campaign contributors) with liberal credit. I guess we live in an age when saving isn't cool. But it sure is nice to know about those 10K I-Bonds being secure when I see the stock market dropping, overextended mortages resulting in defaults, credit card debt soaring, and credit bubbles bursting as though it's Saturday night with Lawrence Welk!

I long for the old days when I could purchase a $10,000 paper I-Bond online using my cash-back credit card. Those were the days!

]]> by: Tom Adams http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-18626 Tue, 08 Apr 2008 14:24:17 +0000 http://www.savings-bond-advisor.com/savings-bond-annual-purchase-limits-reduced-to-5000/#comment-18626 Scott - great info. Thanks for reporting back. Tom Adams Scott - great info. Thanks for reporting back.

Tom Adams

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