You can no longer buy an HH saving bond. But you may have one that is still paying interest.
We sold HH savings bonds from 1980 through August 2004.
They earn interest for up to 20 years. So the last HH bonds will stop earning interest in 2024.
HH bonds at a glance
|What HH bonds might I have?||HH bonds are only in paper form (not electronic).
HH bonds came in 4 denominations: $500, $1,000, $5,000, $10,000.
We sold them at face value. That is, a $500 HH bond cost $500.
|How does an HH bond earn interest?||HH bonds earn interest every 6 months.
We deposit that interest directly to your bank account.
That means the face value of the HH bond does not change.
|What interest are HH bonds earning?||1.50%|
|Must I pay tax on what the bond earns?||Federal income tax: Yes
State and local income tax: No
You must report interest for HH bonds on your federal income tax return for the year in which the interest was earned.
Also, if you bought your HH bonds in exchange for other securities, you may owe tax on "deferred interest." We explain that on Tax information for HH savings bonds.
|How long does an HH bond earn interest?||20 years|
|Can I cash in an HH bond before 20 years?||Yes. You may cash in (redeem) your HH bond at any time.|