As a child, my father used to buy me savings bonds for my birthday along with some toys, of course. This is one of the staples of my father's generation to put monies back into the government to help invest in the future for his children but how times have changed. We have recently seen the US government almost default on its debt due to our current indebtedness. One of the measures taken by the US Treasury to help offset some costs is to discontinue sending out paper copies of savings bonds. After December 31, 2011, you will no longer be receiving a paper copy of the savings bond purchased but you will be directed to set up an account at www.treasurydirect.gov to maintain your savings bonds as well as when you purchase a savings bond for someone else, they will be asked to register an account to maintain the savings bond. SouthPoint will still be able to redeem or cash in your existing paper savings bond.
Brian Goblirsch, Finance Specialist