How Much Is a Patriot Bond Series EE Worth?
The United States Treasury calls special EE bonds issued after after Dec. 10, 2001, "Patriot Bonds." Only paper bonds purchased through banks or other financial institutions have the words "Patriot Bond" on them. Electronic EE bonds purchased through the Treasury's website, Treasury Direct, or bonds bought through payroll deduction are not Patriot Bonds. The Treasury makes it simple for you to find the current value of your Patriot Bonds.
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Purchase Value
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You purchase paper EE bonds for one-half their face value or denomination. Patriot EE Bonds come in denominations of $50, $75, $100, $200, $500, $1,000 and $5,000. You pay $25 for a $50 bond, $50 for a $100 bond, $500 for a $1,000 bond and so on. They do not reach their face value until first maturity.
Redemption Value
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You can redeem the bonds without interest penalty after five years. Patriot Bonds bought before April 2005 pay interest calculated at 90 percent of the average five-year Treasury security yields of the previous six months. Rates change May 1 and November 1 of each year. Bonds bought May 2005 or after earn a fixed interest rate based on the yield of the 10-year Treasury note. Rates for new bonds change May 1 and November 1. Your purchase price plus interest added equals the total value of your Patriot Bond. After 30 years, they no longer earn interest or increase in value.
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Value at Maturity
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The Treasury guarantees that EE Patriot Bonds will reach face value or more at their original maturity date of 20 years after issue. If accumulated interest does not bring them to face value then, the Treasury will bump them up to face value. After that, they will continue earning interest at a fixed rate or whatever rate the government announces for 10 more years. By holding your EE bonds for 20 years, you can assure at least doubling your investment, according to Treasury Direct.
Timing Redemption to Maximize Value
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You can redeem the bonds after one year, but the Treasury will deduct the three months' most recent interest unless you hold them at least five years. You can also maximize your interest by waiting until the beginning of a new month to cash your Patriot Bonds. The Treasury adds interest on the first of each month.
The Savings Bond Calculator
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You do not have to calculate the value of your Patriot Bonds yourself. Log on to the Treasury Direct Savings Bond Calculator using the link in Resources. Keep the Series drop-down box set to "EE Bonds." Set the Denomination box to the amount for your bond. Enter the serial number and the issue date of your bond. Click "Calculate" to find its total value including interest. You can also enter multiple bonds, print your list and save your inventory. After saving, simply click "Calculate" to find the value of your Patriot Bonds in the future.
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References
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