Redeemed Savings Bonds
I finally got around to going to my local bank and cashing in some savings bonds. I ended up redeeming the following:
| Denom. | Issue Date | Maturity | Interest Rate | Current Value |
| $100 | Oct-83 | Oct-13 | 3.47% | $ 182.56 |
| $100 | Apr-83 | Apr-13 | 3.54% | $ 193.00 |
| $100 | Feb-78 | Feb-08 | 4.00% | $ 484.16 |
However, I am a bit surprised by the receipt I received by the bank. I assumed since these are all $100 savings bonds that the total purchase price for the 3 savings bonds was $150 (1/2 the face value).
However the bank receipt shows a redemption price of $859.72 and total interest earned as $684.72. That would mean the original investment was $175. Any ideas why? Maybe the Series E savings bond had a purchase price of $75 back in 1978?
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Comments (3)
Did you go to the savings bond website? That's weird. I cashed bonds from back then and they were 50%.
But if they are wrong, do you really want to say anything? Free money!
Posted by D | October 20, 2006 11:34 AM
Yeah I am not complaining about it. I almost went back to the counter to question the receipt when I realized it didn't equal $150, but then stopped myself ;-).
Posted by 2 million | October 20, 2006 12:25 PM
Yeah, can't complain about free money!
Posted by Matt | October 20, 2006 4:41 PM