Should I just deposit my savings bonds?

Question

I have savings bonds that are about 20 years old, a $100 and a $50. They aren't worth much more than that now, but I'm really broke and could use the money. Should I wait longer so they'll become worth more, or are they not going to reach any great amount anytime soon?

Answer 1

Cash them in and use the money. Savings bonds really only help the government (by giving them money to use), not the bond holder (as you have seen by their incredibly small appreciation). If you need the $$$, just go to the bank and cash them in. Don't feel guilty.

Answer 2

If they are 20 years old, then they were purchased when interest rates were rather high. They may yield 12%, no problem. My ING direct account yields less than 5%. If you can't put food on your table, or drive your car to work, cash them in; but you'll make more money off of them than you will alternatives. If you can get a credit card with a low interest rate, and can responsibly use it and pay it off, it may be a better alternative.

Answer 3

depends on the interest rates. Some older bonds pay better. Maybe you can sell it to somebody who wants to keep them for the higher yield for a higher price than the bank. Find out the yield and contact me if you are interested in selling them to me

Answer 4

Cash them in. They never did generate a decent return and they will not in the future. Unfortunately, you are going to have to pay taxes on the interest they earned but only federal taxes. About 15%. Keep that in mind.

Answer 5

They are not going to reach any great amount any time soon. Use the money instead of borrowing or charging.

Answer 6

You could probably make more money off of them in a high interest savings account.