Types of Savings Bonds

Many people are investing in U.S Savings Bonds throughout the country. Issued by the government, a savings bond is a note saying you are owed money. What is really happening here is the people of the U.S. are loaning money to the government and in turn the buyer gets the money paid back in time with interest attached.
Very popular bonds are the EE bonds. They are popular because they gain interest for up to thirty years and they cannot be transferred. In this way, they make good gifts for family or even a way to begin saving for your children. There is a penalty though if you cash in the bond in the first five years.
Also known as War bonds, E bonds were first issued in May of 1941. These bonds are purchased at 75% of their face value and have a 4 percent yield guarantee. A slightly newed bond is the the Series I bonds. These bonds can protect investor from that all to well-known fact of inflation. These bonds can be bought through your employer or a bank and must be held for at least one year and cannot be exchanged for HH bonds.