You can hold the securities you buy in either:
- a TreasuryDirect account
- the Commercial Book-Entry System (with a bank, broker, or dealer)
(You may have older securities in our Legacy Treasury Direct system, but we are phasing out that program. You can no longer bid through or add new securities to Legacy Treasury Direct.)
TreasuryDirect
TreasuryDirect is a web application from the U.S. Department of the Treasury.
TreasuryDirect is free. There are no fees, no matter how much or how little you invest.
You may hold both savings bonds and Treasury marketable securities in TreasuryDirect.
Your securities in TreasuryDirect are electronic, so you don't have to worry about them getting lost, stolen, or damaged.
When your securities earn interest or when they mature (reach the end of their term), your payment is automatically deposited into the account you have specified.
In TreasuryDirect, you can view and manage your securities 24 hours a day, 7 days a week.
Your account is protected with a password you choose. (Your account will have an account number that is a letter followed by 9 numbers. Example: A-123-456-789)
You can set up an account as an individual or as a representative of an entity such as a corporation, an estate, a partnership, or a trust. More about entity accounts
Make sure your web browser meets the security requirements for TreasuryDirect
Guided Tour of Treasury Direct
Video about opening a TreasuryDirect account
Open a TreasuryDirect account
Demo of logging in to TreasuryDirect
Log in to your TreasuryDirect account
Commercial Book-Entry System
When you work with a bank, broker, or dealer, your securities move through the Commercial Book-Entry System (CBES).
As in TreasuryDirect, in CBES, both securities and payments move electronically. Your securities are electronic records safe from loss, theft, and damage.
When your securities earn interest or when they mature, your payment is automatically deposited into your account with your bank, broker, or dealer.
CBES handles all types of Treasury securities, including these three that you can’t hold in TreasuryDirect: Cash Management Bills, STRIPS, and Collateral.
If you want to bid competitively, and you do not have a TAAPS account, you must work through a bank, broker, or dealer; and you will get your securities through CBES. You can later transfer them into your TreasuryDirect account.
For more on competitive bidding, see Buying a Treasury marketable security.
Also see Transferring from one system to another.
For a deeper understanding of how CBES works, including a visual example as well as information on fees and relevant regulations, see Learn more about the Commercial Book-Entry System.
FAQs
Certificated securities are those represented in physical, paper form. Securities may also be held in the direct registration system, which records shares of stock in book-entry form. In other words, a transfer agent maintains the shares on the company's behalf without the need for physical certificates.
Where are securities held? ›
Certificated securities are those represented in physical, paper form. Securities may also be held in the direct registration system, which records shares of stock in book-entry form. In other words, a transfer agent maintains the shares on the company's behalf without the need for physical certificates.
What is the hold code in TreasuryDirect? ›
Hold Code - A designation that can be placed on an account by TreasuryDirect Customer Service to prohibit certain transactions, or by an account owner to prohibit all transactions and access to an account.
Where to hold I bonds? ›
You can buy electronic I bonds in your TreasuryDirect account. You can buy paper I bonds with your IRS tax refund.
How long should you hold series I bonds? ›
You can cash in an I bond after a year, but if you withdraw sooner than five years, you'll pay a penalty of the last three months' interest. Because your rate changes every six months, it's smart to withdraw when your penalty will be based on a lower rate—and avoid cashing out when you'd be forfeiting a high rate.
What does "holding securities" mean? ›
The term "holding" in securities law refers to ownership of a security such as stock or bond. An individual's or entity's holding of a security indicates their ownership of a specific number of shares.
What is the meaning of securities held? ›
Security held or “to be acquired” — means any Covered Security or any option to purchase or sell, and any security convertible into or exchangeable for such Covered Security that, within the most recent 15 days (i) is or has been held by an Advisory Client in an account managed by the Company, or (ii) is being ...
How do I change security questions on TreasuryDirect? ›
You may email 1603Questions@treasury.gov to request that your security questions be reset. In the email, state 1) your username and 2) the old security questions (not the answers). Once the security questions have been reset, you will receive an email notification.
Does TreasuryDirect charge fees? ›
There's no charge to open an account or to manage your securities. The only money you pay is for the securities you buy—and we don't add a fee to that.
How long does it take to get money from TreasuryDirect? ›
You just bought a security from the U.S. Treasury. Securities are generally issued to your account within two business days of the purchase date for savings bonds or within one week of the auction date for Bills, Notes, Bonds, FRNs, and TIPS.
Yes, you can purchase up to $10,000 in electronic I bonds each calendar year. You can also buy an additional $5,000 in paper I bonds using your federal tax return.
Do Series I bonds ever lose value? ›
Question: Can you determine what the value of a Series I bond will be in future years? inflation rate can vary. You can count on a Series I bond to hold its value; that is, the bond's redemption value will not decline.
Do I pay taxes on I bonds? ›
How much tax do I owe on my I bonds? Interest on I bonds is exempt from state and local taxes but taxed at the federal level at ordinary income-tax rates.
Is there a downside to I bond? ›
Key Points. Pros: I bonds come with a high interest rate during inflationary periods, they're low-risk, and they help protect against inflation. Cons: Rates are variable, there's a lockup period and early withdrawal penalty, and there's a limit to how much you can invest.
Where do securities go on a balance sheet? ›
Marketable securities are typically included in the cash and cash equivalents line item, the first line item on the current assets section of the balance sheet. Moreover, marketable securities can come in the form of equity securities (e.g. ETFs, preferred shares) and debt investments (e.g. money market instruments).
What are securities held by banks? ›
Investment securities, representing obligations purchased for the bank's own account, may include United States government obligations; various Federal agency bonds; state, county, and municipal issues, special revenue bonds; industrial revenue bonds; and certain corporate debt securities.
Why are securities held in street name? ›
By holding the securities in street name, the broker is ensuring that they will be delivered promptly when a transaction occurs. This system removes any uncertainty that would exist if the customer were responsible for providing the security every time a trade took place.
Where are trading securities recorded? ›
The securities will be recorded in the currents assets section under the “Short Term Investments” account and will be offset in the shareholder's equity section under the “Unrealized Proceeds From Sale of Short Term Investments” account.
