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expired Posted by dn90003 • Dec 12, 2021
expired Posted by dn90003 • Dec 12, 2021

US Treasury Series I Savings Bonds Inflation Rate Earnings (Nov '21 - April '22)

(Limit $10K/Year Per Person)

7.12% Interest

3,499 Comments 1,447,946 Views
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Note: This popular deal is still available.

U.S, Government Treasury is currently offering 7.12% Interest Rate in combined Fixed + Inflation Rate Earnings valid on newly issued Series I Savings Bonds purchased from November 2021 through April 2022. Limit of $10,000 / year in interest earnings per person.

Thanks to community member dn90003 for sharing this offer.

About this offer:
  • How do I buy a Series I bond?
  • What is a Series I bond? (source)
  • "A savings bond that earns interest based on combining a fixed rate and an inflation rate."
  • You may use Series I bonds to:
    • Save in a low-risk product that helps protect your savings from inflation
    • Supplement your retirement income
    • Give as a gift
    • Pay for education
    • Click here for more information about Series I Bonds
  • What interest does a Series I bond earn? (source)
    • A combination of a fixed rate that stays the same for the life of the bond and an inflation rate that is set twice a year.
    • For bonds issued from November 2021 through April 2022, the combined rate is 7.12%

Editor's Notes

Written by BostonGirl
Refer to the forum thread here for more information and details.

Original Post

Written by dn90003
Community Notes
About the Poster
Deal Details
Community Notes
About the Poster
Note: This popular deal is still available.

U.S, Government Treasury is currently offering 7.12% Interest Rate in combined Fixed + Inflation Rate Earnings valid on newly issued Series I Savings Bonds purchased from November 2021 through April 2022. Limit of $10,000 / year in interest earnings per person.

Thanks to community member dn90003 for sharing this offer.

About this offer:
  • How do I buy a Series I bond?
  • What is a Series I bond? (source)
  • "A savings bond that earns interest based on combining a fixed rate and an inflation rate."
  • You may use Series I bonds to:
    • Save in a low-risk product that helps protect your savings from inflation
    • Supplement your retirement income
    • Give as a gift
    • Pay for education
    • Click here for more information about Series I Bonds
  • What interest does a Series I bond earn? (source)
    • A combination of a fixed rate that stays the same for the life of the bond and an inflation rate that is set twice a year.
    • For bonds issued from November 2021 through April 2022, the combined rate is 7.12%

Editor's Notes

Written by BostonGirl
Refer to the forum thread here for more information and details.

Original Post

Written by dn90003

Community Voting

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Top Comments

Looks tempting. But these are only rated for inflation as fixed rate is 0%. Once inflation is back down, your rate will go down with it.
In case you're wondering, here's how the rate is computed:
Composite rate =
No, these are govt bonds. They stay in the treasury. I bonds are based on the rate of inflation. They have a fixed rate plus the current rate of inflation. Inflation goes up, you earn more. It was 3.54%. Rates went up on 11/1. To realize the full benefit you need to buy before the rates change on 5/1 and 11/1. No fees or penalties. Hold for a min.of a year. If you cash out in less than 5 years you forfeit 3 months interest. After 5 years, you don't pay anything. You can only buy $10k/yr and then up to an additional $5k if purchased directly from your tax refund.
I bought $10k in denominations of 2,3, 5 so if I want to cash out I can do it in chunks instead of having to cash out $10k.: Better than any CD or bank rate if you want to stay in cash.
By the way, using your tax refund to purchase bonds won't count toward your $10k yearly limit.

https://www.treasurydirect.gov/in...eature.htm

3,499 Comments

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Dec 12, 2021
40 Posts
Joined Oct 2018
Dec 12, 2021
Rodnoosh
Dec 12, 2021
40 Posts
The good news is the rates are 0% ... it would be bad news if rates were 5% and inflation was still high. That's what a lot of 3rd world countries look like. The fed can easily get inflation under control but then that'll hamper economic growth. so they are basically stuck.

I still invest heavily in the stock market. The market is not an indicator of the economy. The world keeps printing money. Best place to 'invest' is the US stock market. Some countries have negative rates so they put their money here. This also applies to crypto, people don't put their money in the bank so they invest in crypto. It'll keep going up as well.

Silver/Gold .. I started buying some bars but its more of a hobby. I don't plan to ever sell any of it. It's just fun to look at. I actually only have silver. Maybe one day I'll get some maple gold coins.
Dec 12, 2021
59 Posts
Joined Feb 2019
Dec 12, 2021
KripalK
Dec 12, 2021
59 Posts
If you know how to trade options you can make twice the money some work needed , but treasury direct is good place to hide some money
1
Dec 12, 2021
32 Posts
Joined Jan 2021
Dec 12, 2021
GreenGiraffe4205
Dec 12, 2021
32 Posts
Quote from Follywood :
Crypto baby!
šŸš€šŸš€šŸš€šŸš€šŸš€
2
Dec 12, 2021
284 Posts
Joined Apr 2005
Dec 12, 2021
Vascodegama
Dec 12, 2021
284 Posts
Quote from mrjbaires :
Hey I been thinking of doing that. How long have you had your funds in there?
You can't get 15% with Tether
Dec 12, 2021
6,107 Posts
Joined Oct 2011
Dec 12, 2021
prvns
Dec 12, 2021
6,107 Posts
Quote from tommyw4311 :
Yes. I bought $40K worth of bonds. Me, my wife, and 2 kids.

But, no you can't do this in your name 4 times.
Thanks! So I can use the same account to buy 3 bonds (me, wife, 1kid) worth $30K right?

And what's the penalty if I have to withdraw in less than a year?
Dec 12, 2021
3,298 Posts
Joined Nov 2013
Dec 12, 2021
mrwhitewalker
Dec 12, 2021
3,298 Posts
I know this started last month, if we start today we just missed out on 1 month of 7%?
Dec 12, 2021
14,330 Posts
Joined Nov 2019
Dec 12, 2021
Lilyly
Dec 12, 2021
14,330 Posts
Quote from Jackalope :
Yes, you might have to pay taxes on any interest or gains for any bond or security. This is no different.

BUT -- these I bonds are better since they are not subject to State and Local tax!

https://www.treasurydirect.gov/in...nsider.htm
but still pay for federal tax?

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Dec 12, 2021
387 Posts
Joined Dec 2014
Dec 12, 2021
matadorjr24
Dec 12, 2021
387 Posts
Quote from Follywood :
Crypto baby!
It looks like a desperate attempt to get people not to spend money on crypto lol
1
Dec 12, 2021
466 Posts
Joined Nov 2008
Dec 12, 2021
DrunkBetch
Dec 12, 2021
466 Posts
Quote from MikeyMike01 :
When stocks go up, buy more. When stocks go down, buy more.
This is the way.
Dec 12, 2021
6,656 Posts
Joined Mar 2004
Dec 12, 2021
practicalme
Dec 12, 2021
6,656 Posts
Quote from prvns :
Thanks! So I can use the same account to buy 3 bonds (me, wife, 1kid) worth $30K right?

And what's the penalty if I have to withdraw in less than a year?
You can't withdraw in less than a year. Penalty is 3 months interest if withdrawn before 5 years.
Dec 12, 2021
1,512 Posts
Joined Jan 2011
Dec 12, 2021
bugelrex
Dec 12, 2021
1,512 Posts
Quote from Rodnoosh :
The good news is the rates are 0% ... it would be bad news if rates were 5% and inflation was still high. That's what a lot of 3rd world countries look like. The fed can easily get inflation under control but then that'll hamper economic growth. so they are basically stuck.

I still invest heavily in the stock market. The market is not an indicator of the economy. The world keeps printing money. Best place to 'invest' is the US stock market. Some countries have negative rates so they put their money here. This also applies to crypto, people don't put their money in the bank so they invest in crypto. It'll keep going up as well.

Silver/Gold .. I started buying some bars but its more of a hobby. I don't plan to ever sell any of it. It's just fun to look at. I actually only have silver. Maybe one day I'll get some maple gold coins.
I'm concerned the fed wont have the balls to act aggressively before the mid term elections (therefore making the correction even worse)
Dec 12, 2021
40 Posts
Joined Apr 2016
Dec 12, 2021
jssmc73
Dec 12, 2021
40 Posts
Bonds??? NGMI...
Dec 12, 2021
7 Posts
Joined Feb 2007
Dec 12, 2021
lightman2
Dec 12, 2021
7 Posts
Plus if a particular government party wants to deny raising the debt limit ceiling then it could crash the economy and making these worthless especially if other government in the world view the dollar as too risky and decide to switch standard currency to euro.
Dec 12, 2021
350 Posts
Joined Apr 2007
Dec 12, 2021
2cheap2eat
Dec 12, 2021
350 Posts
Quote from chrisVP101 :
You cannot cash out I Bonds for a year and the 3-month penalty for cashing out early is if you cash out before holding I-Bonds for 5 years. The same applies to EE bonds.
From their FAQs:

"I bonds earn interest for 30 years unless you cash them first. You can cash them after one year. But if you cash them before five years, you lose the previous three months of interest. (For example, if you cash an I bond after 18 months, you get the first 15 months of interest.)"

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Dec 12, 2021
294 Posts
Joined May 2013
Dec 12, 2021
puffyblowfish
Dec 12, 2021
294 Posts
Quote from hydrocynus :
If you had 160k sitting in the bank, what would you do? I never invested in anything. House is fully paid. No debts, credit score at 823. 100k a year in earnings? Right now I have them at cit Bank waiting for the next bubble to blow and then flip houses.
wait for a crash, then buy a 3x leveraged etf when everything tanks, spxl, tqqq, fas. hold for a year and slowly cash out before the next crash in 6 years.

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