Justin and I were talking about him starting to buy savings bonds, small ones every month or so, I always wanted to do that because MY parents did, but you know the way it goes, let me get thru this/pay off that and then I will start getting them.... and over 20 years later ooops
So I looked online to see if you had to go to a bank to buy them and now am very confused. http://www.savingsbonds.gov/indiv/research/indepth/ebonds/res_e_bonds_eebuy.htm apparently there are 2 kinds now paper and Electric, and they work totaly different, the paper, as always, you pay 1/2 of the face value (like 25 for a 50)and in a certain time (20 years now?) you get that amount and then it starts collecting interest until it maxes out.
the Electric you pay what the face value is 50 for 50 and it works different, but I still haven't totally figured it out.
You also can trade your paper bonds you currently have into electric ones. SOOO does anyone know which is best if you plan on keeping them until you retire? (what brought this up with Mom dieing and all the banking ect, dad mentioned he cashes out a couple bonds a month that maxed out and it supplements his pensions ect nicely)
basically what we're trying to figure out which would be better to have financially, it would be easier to do everything online instead of going to the bank every month to buy one, but if financially it would make a difference, in 20-30 years, then we'd buy paper ones.
Also has anyone traded in their paper bonds for electric or thought about it and decided not to?
and last say you want to spend 50 a month, would it be better to have two 50 dollar paper bonds or one 100 dollar one?
So I looked online to see if you had to go to a bank to buy them and now am very confused. http://www.savingsbonds.gov/indiv/research/indepth/ebonds/res_e_bonds_eebuy.htm apparently there are 2 kinds now paper and Electric, and they work totaly different, the paper, as always, you pay 1/2 of the face value (like 25 for a 50)and in a certain time (20 years now?) you get that amount and then it starts collecting interest until it maxes out.
the Electric you pay what the face value is 50 for 50 and it works different, but I still haven't totally figured it out.
You also can trade your paper bonds you currently have into electric ones. SOOO does anyone know which is best if you plan on keeping them until you retire? (what brought this up with Mom dieing and all the banking ect, dad mentioned he cashes out a couple bonds a month that maxed out and it supplements his pensions ect nicely)
basically what we're trying to figure out which would be better to have financially, it would be easier to do everything online instead of going to the bank every month to buy one, but if financially it would make a difference, in 20-30 years, then we'd buy paper ones.
Also has anyone traded in their paper bonds for electric or thought about it and decided not to?
and last say you want to spend 50 a month, would it be better to have two 50 dollar paper bonds or one 100 dollar one?