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Portfolio > Economy & Markets > Fixed Income

Just a Week Left to Secure 9.6% I Bond Interest Rate

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Investors have just one more week to secure a 9.62% interest rate on I Series Savings Bonds, or I bonds, a U.S. government security designed to protect savings from inflation.

This year’s high inflation has given savers a chance to capture a guaranteed rate they’re unlikely to find in other securities or bank savings accounts.

Available for purchase on the TreasuryDirect website, I bonds allow purchasers to lock in a rate for six months from the purchase date. The interest is based on both a fixed rate and a rate tied to inflation reflected in the Consumer Price Index, and is reset every six months. The interest is compounded semiannually.

I bonds issued from May 1, 2022 through Oct. 31, 2022, will earn 9.62% for six months from the purchase date, but investors must buy them by Oct. 28 — next Friday — to ensure the bonds are issued in time to secure that rate.

Buyers must complete the purchase and receive a confirmation email by 11:59:59 PM ET, Oct. 28, according to TreasuryDirect. Bonds purchased on Oct. 29 will receive the new interest rate covering Nov. 1, 2022, through April 30, 2023, which the Treasury Department plans to announce on Nov. 1.

The department notes that it is experiencing “historic volume” that may prevent customer service agents from helping account holders resolve technical issues and buy new bonds in time.

Individuals may buy up to $10,000 in electronic I bonds per calendar year through TreasuryDirect and a maximum of $5,000 in paper bonds per year through their tax refunds. I bonds earn interest for 30 years or until cashed.

Owners may cash in their bonds after 12 months; if they redeem them before five years, they forfeit the last three months’ interest.


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