Comments on: Should I buy Series I Savings Bonds now or wait?

by: Six

Mon, 13 Mar 2006 16:30:16 +0000

The one draw back of buying bonds from treasury direct is that you can't name a family trust as the owner. You can when buying them from a bank and taking possession of them.

by: Tom Adams

Sun, 12 Mar 2006 00:16:18 +0000

Jo - you can buy Series I bonds in increments as small as $25 at TreasuryDirect or $50 with paper bonds.

And you can invest $30,000 in electronic I bonds at TreasuryDirect plus another $30,000 in paper I bonds at your bank for a total of $60,000 per year (per Social Security Number).

by: Jo Hailey

Sat, 11 Mar 2006 22:31:29 +0000

After reading some of your mail, it is my understanding I can buy up to $30,000 worth of ibonds annually. I assume I can buy them in $10,000 increments, true?

by: Mario

Fri, 10 Mar 2006 04:39:27 +0000

Phoebe:

Also, you don't have to buy them in small increments because you can make withdrawals in any increment. I.e. you could get a $30,000 I bond and withdraw $1000 for instance (in TreasuryDirect it works that way, not with paper). Keep in mind your annual limit (per person) is $30k in TreasuryDirect and $30k in paper bonds. If you're in it for the long run, you may want to wait and see if the Treasury decides to raise the fixed rate of the bond in May.

by: Tom Adams

Mon, 06 Mar 2006 22:27:12 +0000

Phoebe - Unless I'm misunderstanding your question, Savings Bonds don't have the kind of terms you're thinking they do.

All the Savings Bonds you get today can be cashed one year after issue. There is a three-month interest penalty if you cash before five years. They stop paying interest after 30 years.

Savings Bonds are very different from other corporate and government bonds, which definitely do have terms.

by: PHOEBE

Mon, 06 Mar 2006 22:18:16 +0000

Hi, Am just starting with treasury direct for I-Bonds. Really a rookie !!

I will be investing a total of 150K. So far i have gleaned to set up say 15k in 1k increments to cover a possible emrgency with the children so i only cash in that 15.

This money is for our retirement so i was thinking of putting 80k in for a 5 year term,

and at same time 10k 6 year

" " 20k 7

" " 40 8

I would put these amounts into 5k amounts, e,g, the 40k would be eight of the $5000.

I am not at all expecting you to have a crystal ball on the market. nothing to do with that. instead my question is since i do not expect to need the money for at least 5 years and more likely 8 to 10 years, is my suggested staggering sensible vs. say putting the longest bond at 4 years. The tax delay will be very suitable for me.
Thanks
Phoebe