Chase Bank will not cash savings bonds for you, but you have several straightforward options to convert them to cash

Chase Bank does not redeem U.S. savings bonds. If you hold a paper savings bond or want to cash a digital bond registered with the Treasury, you will need to go through the U.S. Department of the Treasury or a bank that participates in the Treasury's bond redemption program. Some regional and community banks do cash savings bonds, but most large national banks, including Chase, have stopped offering this service.

The reason is straightforward: savings bonds are issued and backed by the federal government, not by individual banks. Banks that do cash them act as intermediaries between you and the Treasury, and many have decided the administrative burden is not worth the small transaction volume they handle.

Key Takeaways

  • Chase Bank does not redeem savings bonds, so you will need to use the Treasury's online system, a local bank that still offers the service, or mail your bond to the Treasury.
  • The fastest method is the Treasury's TreasuryDirect website, where you can redeem digital bonds when ready if they are registered in your name.
  • Paper savings bonds can be cashed at some smaller regional banks and credit unions, though you will need to call ahead to confirm they offer this service.
  • If you mail a paper bond to the Treasury, include a signed letter requesting redemption and allow four to six weeks for processing.

Redeeming a Digital Bond Through TreasuryDirect

If your savings bond is registered with the U.S. Department of the Treasury through TreasuryDirect, you can redeem it online without visiting any bank. Log into your TreasuryDirect account at treasurydirect.gov, navigate to the "Manage My Securities" section, and select the bond you want to cash. The system will walk you through the redemption process, and the money will be deposited directly into your bank account within one to two business days.

This method works only if the bond is registered in your name in the TreasuryDirect system. If you inherited a bond, received one as a gift, or have an older bond that was never registered digitally, you will need to use one of the other methods described below.

Finding a Bank That Cashes Paper Savings Bonds

Some smaller regional banks, community banks, and credit unions still cash paper savings bonds, though the number has shrunk over the past decade. Call your local bank or credit union and ask whether they redeem U.S. savings bonds. If they do, bring your bond and a valid photo ID. The teller will verify the bond's authenticity, check that it has reached its issue date (you cannot cash a bond before it is one year old), and process the redemption.

Banks that offer this service typically do not charge a fee, but policies vary. Some may require you to have an account with them; others will cash bonds for non-customers. Call before you go, because availability is inconsistent and some branches may not handle bonds even if the bank's policy allows it.

Mailing Your Bond Directly to the Treasury

If you cannot find a bank that cashes bonds and your bond is not in TreasuryDirect, you can mail it to the Bureau of the Fiscal Service, which is part of the Treasury Department. Include a signed letter stating that you want to redeem the bond, your name, address, and the bond's series and denomination. Mail it to the address listed on the Treasury's website for your region—there are separate addresses for different parts of the country.

Processing takes four to six weeks. The Treasury will mail you a check to the address you provided. This method is slower than the others, but it works for any paper bond, including inherited bonds and older bonds issued before TreasuryDirect existed.

What You Need to Know Before Cashing a Savings Bond

Savings bonds must be at least one year old before you can redeem them. If you cash a bond before it has been held for five years, you will lose the last three months of interest as a penalty. For example, if you redeem a bond that is three years old, you will receive interest only through the end of the previous year, not through the current month.

The interest you earn on savings bonds is subject to federal income tax, though it is not subject to state or local income tax. When you redeem a bond, the Treasury does not withhold taxes automatically—you will owe the tax when you file your federal return. Keep a record of the redemption amount and the interest earned, which the Treasury will provide or which you can calculate from the bond's purchase price and redemption value.

Why Chase and Other Large Banks Stopped Cashing Bonds

Large banks like Chase stopped redeeming savings bonds because the process requires them to verify the bond's authenticity, confirm the owner's identity, and submit the redemption to the Treasury—all for a transaction that generates no fee for the bank. The administrative cost outweighs the benefit, especially when the Treasury offers free redemption through TreasuryDirect.

This shift happened gradually over the 2010s and 2020s. Smaller banks and credit unions have been more likely to keep the service because they have closer relationships with their customers and may see it as a way to maintain loyalty, even if it is not profitable on its own.

Frequently Asked Questions

Can I cash a savings bond at any Chase branch?

No. Chase does not redeem savings bonds at any of its branches. You will need to use TreasuryDirect, find a local bank or credit union that offers the service, or mail the bond to the Treasury.

What if I inherited a savings bond and do not know if it is in TreasuryDirect?

Log into TreasuryDirect with the deceased person's Social Security number and see if the bond appears. If it does not, the bond is likely a paper bond issued before the account was created. In that case, you can take it to a bank that cashes bonds or mail it to the Treasury with a letter requesting redemption and proof that you are the beneficiary.

Will I owe taxes when I cash a savings bond?

Yes. The interest earned on a savings bond is subject to federal income tax. You will report it on your tax return for the year you redeem the bond. State and local income taxes do not explore to savings bond interest.

How long does it take to get my money if I use TreasuryDirect?

One to two business days. The money is deposited directly into the bank account you have linked to your TreasuryDirect account.

What if my savings bond is older than 30 years?

You can still redeem it. Savings bonds do not expire, though they stop earning interest after 30 years. Redeem it through TreasuryDirect, a local bank, or by mail to the Treasury.