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I know I don't post here much- but I read and learn from you guys everyday.

But now I do have a question that I have not seen the answer to.... I have heard of a few people trying to cash in saving bonds and the banks giving them the run around. It was on our local news one guy went to 4 different banks before someone would let him cash them in. One bank even told him that they weren't worth the paper they were printed on.

So my question is- what do you think- keep or cash in? If the dollar fails worse then it is, and the government goes bankrupt....(they wouldn't let that happen would they?:TFH:) then a person wouldn't get anything from the bonds right?

Opinions?.....
 

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I cashed mine in and bought gold bullion coins, I have never know gold to default. :lookout:


Sam
 

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Gold might not default but if we have deflation you might loose quite a bit on gold. I assume the gov is not going to fold they are printing money which will someday come to cause problems but for a deflationary economy cash is king. It really depends on your need and level of nervousness. If you need the money to survive in the next year or until the worst times are over I would just have cash. If you do not need the money I would just hold onto the bonds. Right now the dollar is so high just because everyone is buying treasuries. They yield almost no interest but people still buy them for protection. I assume your bonds have a decent rate of return. If you have lots of bonds then by all means diversify your holdings to protect yourself. All these guys caught in pyramid schemes that lost everything would not be in trouble if they had been diversified and not allowed any one entity to hold all their money.
 

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I would think that there is more to that story- if the government were to default on bonds, they would lose all credibilty and nothing would stop the downward slide. I have never heard that cashing bonds would be a problem- I bet that there was a problem with the guy's ID or that the bonds were too recently issued to be cashable.
The banks may not find it as profitable to issue or redeem bonds because of some recent twists but I have not heard that either.
I'd call the bank if I was worried and ask.
 

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I would think that there is more to that story- if the government were to default on bonds, they would lose all credibilty and nothing would stop the downward slide. I have never heard that cashing bonds would be a problem- I bet that there was a problem with the guy's ID or that the bonds were too recently issued to be cashable.
The banks may not find it as profitable to issue or redeem bonds because of some recent twists but I have not heard that either.
I'd call the bank if I was worried and ask.

Having worked in a bank in the past I second this. Or, he probably was trying to cash then in at a bank where he didn't have an acct. Banks these days only want to service acct. holders. My FIL is still buying savings bonds for my dc for b-days and Christmas. I haven't heard of anyone having a problem cashing them in. Go figure!
 

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We had to mail ours in the bank would not cash them . There were several 120 of them we got a check in less than two weeks .
EE savings bonds? I guess some things have changed since I worked in banking. I have never heard of a bank not cashing series E or EE bonds for a client.
 

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I am still getting defferred payments on my salary with bonds and when/if I need money I sign them and roll them over into my checking account only if its matured.Never had any trouble with any bank I use. Really helps on taxes and in divorce cases as the spouse can't go after them since they are deffered and redeemable only after divorce so they can't lay claim.
 

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Bonds are the only sector in the investment community that is still preforming adequately. If you don't have faith in bonds, then you shouldn't be using them to buy gold, you should be using them to buy ammo and herloom seeds. Those are the only things that will have value in a crash so bad the bonds are worthless.
 

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I am thinking that the problem withcashing bonds might reflect on the particular bank. Maybe its a sign that this bank is one of the ones in trouble and has a policy of not releasing any cash for whatever reason. I bet this same bank is not making regular loans. I would think about switching banks.
 

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Cash em in...

You come to me now, with a silver dollar, I'll know how much it's worth. A dollar bill, ditto. Bring me a savings bond??? Do they still sell such things??? Thought only the Chinese bought em...:D

Cash it in while you can. Buy a gun. It'll appreciate a lot faster than the negative interest rates (after inflation) offered on fiat currency. The world goes to heck in a handbasket, silver and gold will have value... a good firearm, with copious amounts of ammunition will be the cat's pajamas... and allow you to keep whatever else you have.
 

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Right now my savings bonds have a better interest rate than what I can get in a CD so I am not cashing mine in- just hanging on.

Correct, right now a savings bond is the best investment going. If you have no metals, seeds or ammo, then OK cash a little out (or better yet use some of your savings) and buy some. But leave the rest --there's a big difference between preparing for the worst and preparing only for the worst.
 

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I just cashed in a bunch in Dec to pay my daughter's tuition. No problems at all; I opened an account at a regular savings bank so I would have a place to cash them. My main-use credit union will not redeem savings bonds.
 

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DH and I just went through this a couple of months ago. While in the military, I had an allotment to purchase a Series EE bond each month. When doing a review of our finances, I checked the interest rates of our bonds and the interest rates varied wildly. In some cases, they were earning less than savings accounts and certainly less than CDs. So, I cashed the whole lot in (156 of 'em) and used the money to pay off the remainder of our mortgage. You have to hold them at least one year to cash in without penalty. From there, they are simply calculated on a pro-rated basis to determine payout. At a minimum, you'll get what you paid for them. When I looked at the timeframe to full maturity vs the amount of money that we saved paying off the mortgage early, I feel that we came out better by cashing in.
 
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