savings bond

United States government sells bonds through banks {savings bond}| {U.S. Savings Bond}. Savings bonds sell at a percentage of face value and have a fixed period during which they can earn interest. For example, savings bond sold for $750 are worth $1000 in 30 years. If bond sells to someone else before 30 years, market determines interest. If you redeem bond after 30 years, value is $1000. Savings bonds typically have higher interest rates than savings accounts.

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Date Modified: 2022.0224