How to Cash a Savings Bond Not in Your Name

Cashing a savings bond that is not in your name requires adherence to specific procedures established by the U.S. Treasury. Unlike other financial instruments, savings bonds cannot be freely transferred or sold, meaning only the registered owner or an authorized individual acting on their behalf can redeem them. This process involves navigating various legal requirements and submitting precise documentation. Understanding these steps is important, as improper submissions can lead to delays.

Determining Eligibility to Cash the Bond

Cashing a savings bond not issued in your name hinges on establishing a clear legal relationship with the original owner.

One common scenario involves being a surviving beneficiary, particularly if the bond was registered as “payable on death” (POD) to you. In such cases, the death of the original owner allows the named beneficiary to claim the bond, requiring proof of death.

Another pathway to eligibility is through acting as an executor or administrator of a deceased owner’s estate. If a bond is part of a deceased person’s estate, the court-appointed personal representative has the authority to redeem it. This role demands official court documentation, such as Letters Testamentary or Letters of Administration.

For bonds owned by minors or incapacitated individuals, a court-appointed guardian or conservator may redeem the bond. These fiduciaries must provide court orders establishing their authority. Similarly, holding a valid power of attorney (POA) can grant the authority to cash a bond for the owner if they are unable to act for themselves. The power of attorney document must explicitly grant this authority and typically needs to be durable, meaning it remains effective even if the principal becomes incapacitated.

Parents or legal guardians may also cash bonds issued in a minor’s name, especially if the child is too young to sign. While some financial institutions may allow this with proper identification, the U.S. Treasury offers a direct mail-in process if a bank is unwilling to redeem the bond.

Required Documentation and Forms

Once eligibility is determined, gathering the specific documentation and completing the correct forms is the next step in cashing a savings bond not in your name. The U.S. Treasury provides various forms for different redemption scenarios, primarily FS Form 1455, “Request by Fiduciary for Distribution of United States Treasury Securities,” and FS Form 3500, “Instructions for Securities Listing.” These official forms can be obtained directly from the TreasuryDirect website.

When completing FS Form 1455, fiduciaries must accurately fill in details such as the customer’s name, a unique identifier, the reason for distribution, and specific information about the distributee. Part A of the form requires stating the reason for distribution, while Part B details each person entitled to the securities.

For FS Form 3500, which serves as a continuation sheet for listing securities, it is necessary to provide the bond owner’s full name, Social Security Number, the face amount of the bonds, bond numbers, and any inscription details. This form ensures a thorough record of all bonds being processed, especially when dealing with multiple securities.

Supporting documents vary based on the claimant’s role.
For a deceased owner’s bond, a certified death certificate is required, and if multiple owners are listed, death certificates for all deceased owners may be needed.
Executors or administrators must provide certified copies of Letters Testamentary or Letters of Administration, which confirm their court appointment.
Guardians or conservators need to submit certified copies of court orders that grant them authority over the minor or incapacitated individual’s assets.
For those acting under a power of attorney, a certified copy of the power of attorney document itself is essential, ensuring it meets durability and recency requirements.
Additionally, all claimants must provide valid government-issued identification, such as a driver’s license, to verify their identity.

Completing and Submitting Your Claim

The final stage involves completing and submitting the claim. Many of the required forms, such as FS Form 1455 or FS Form 1522, necessitate a certified signature. This typically means signing the form in the presence of an authorized certifying officer, often found at financial institutions like banks or credit unions, who will then affix their official stamp or seal, such as a Medallion Signature Guarantee. A notary public certification may not always be sufficient; the specific form instructions will indicate if a Medallion Signature Guarantee is required, especially for bond values exceeding $1,000.

For paper savings bonds, the primary method of submission to the Treasury is by mail. The completed forms, along with the unsigned physical bonds and any required supporting documentation, should be sent to the Treasury Retail Securities Services. The mailing address for paper savings bonds is typically provided on the forms or can be found on the TreasuryDirect website. For electronic savings bonds held in a TreasuryDirect account, redemption can often be initiated online through the ManageDirect section, allowing for direct deposit of funds into a linked bank account.

Upon submission, processing times can vary, ranging from a few weeks to several months depending on the complexity of the claim and current Treasury workloads. The Treasury will review the submission for completeness and accuracy, and may contact the claimant for additional information if needed. Once processed, payment is typically issued via direct deposit to the bank account specified on the form. All interest earned on redeemed savings bonds is taxable income and will be reported to the IRS in the year of redemption.