Can i insure savings bonds in mail
In the United States, savings bonds are insured by the Federal Deposit Insurance Corporation (FDIC) or the National Credit Union Administration (NCUA), depending on where you purchased the bond. This insurance protects your investment up to a certain amount.
Here's what you need to know:
- FDIC insurance: If you purchased your savings bond from a bank, it's likely insured by the FDIC. The FDIC insures deposits, including savings bonds, up to $250,000 per depositor, per insured bank.
- NCUA insurance: If you purchased your savings bond from a credit union, it's likely insured by the NCUA. The NCUA insures deposits, including savings bonds, up to $250,000 per depositor, per insured credit union.
- Mail delivery: You can purchase savings bonds by mail through the U.S. Department of the Treasury's Bureau of the Fiscal Service. When you buy a savings bond by mail, it's considered a deposit, which is insured by the FDIC or NCUA, depending on the financial institution that issued the bond.
- Insurance coverage: The FDIC or NCUA insurance coverage applies to the face value of the savings bond, not the interest earned. If you have a savings bond with a face value of $1,000, for example, the FDIC or NCUA would insure that amount, but not the interest earned on the bond.
To ensure your savings bond is insured, make sure to:
- Purchase the bond from a bank or credit union that is FDIC-insured or NCUA-insured, respectively.
- Keep your bond in a safe place, such as a fireproof safe or a secure online account.
- Monitor your bond's value and interest earnings to ensure you're aware of any changes.
Remember, savings bonds are a low-risk investment, and the FDIC or NCUA insurance provides an additional layer of protection for your investment.