US Treasury savings bonds are a smart way to diversify a portfolio. They are Federally issued and backed, have no state or local taxes, the capital is always returned, and they offer a consistent rate of return. This rate of return differs based on when the bond was issued and what series it is from. Bond Rates are released semiannually.
The Bond Rates that are released are based on the Consumer Pricing Index and the treasury releases that current rate information twice a year. The dates have historically been on May 1 and November 1. The most current Bond Rate Information was released November 1, 2008.
When the most recent Bond Rate information was released it provided an update for all the bond series currently being issued. EE series bonds purchased May 1, 2005 through October 31, 2005 earned a 3.50% rate of return. However, the Series EE bonds issued May 1997-April 2005 will follow their path of earning a market-based interest rates set at 90% of the average 5-year Treasury securities yields for the preceding six months.
Additionally, an update for the I Series of US savings bonds were issued as the Bond Rate information is released semiannually for all bonds currently available and being held for maturity. The interest rate posted at 5.64% through April 30, 2009.
The next update to the Bond Rate will be on May 1. That is one of the dates when the Treasury releases its semiannual bond interest rate information. That information for all the bonds will be current until October 31, 2009. On November 1, 2009 the next bond rate information will be released. At this point in time, there are no scheduled updates to the semiannual release times or the May 1 or November 1 dates.