Historic Savings Bonds Rates: Last 30 Years

The first savings bond was issued in 1917, in the guise of a “Liberty Bond.” The US Government was looking for ways to enter WWI and the method of borrowing financial resources from another government weren’t viable at the time.

Although there were some glitches with the maturity and subsequent cashing in of that savings bond, the system has been tweaked and the Historic Savings Bonds Rates: Last 30 Years has been stable, safe and a good way to invest money in. Currently, the treasury releases the current rate information semi-annually both in May and November.

The Historic Savings Bonds Rates over the Last 30 Years varies depending on the type of bonds. The Series EE bonds were originally offered on July 1, 1980, to replace Series E Bonds, as they were withdrawn from sale and depending on what year the bonds were purchased determines their rate of return. EE Bonds bought after May 1, 2005, earn a fixed rate of return while EE Bonds purchased between May 1997 and April 30, 2005, have a variable interest rate based on 5-year Treasury security yields and those purchased before 1997 earn various rates for semiannual earnings periods beginning between November 2008 and April 2009, depending on dates of issue.

How the Historic Savings Bonds Rates over the Last 30 Years is calculated for I series bonds, which differ from the E Series as the interest rate is a combination of a fixed rate (applied to the life of the bond) and the semiannual inflation rate. The rate of return for this bond directly correlates to the annualized rate of inflation as measured by the Consumer Price Index for all Urban Consumers (CPI-U).

The current earnings rate of 5.64% for Series I Savings Bonds, and a fixed rate of 1.30% for Series EE bonds, is a bit lower than the Historic Savings Bonds Rates over the Last 30 Years. However, these investments are long term and the Feds are aggressively targeting the crumbling economy so who knows what the future holds.