I bonds
 

Just a friendly reminder, if you bought inflation bonds in 2022, today may be the day to redeem. I bought mine April of '22, so today is the day I'm cashing in, as the rate is dropping down to 3%. I didn't do too bad. 10k in, $11,208 out. Not too bad for 19 months.

Have you calculated how much interest you will lose for not holding them 5 years?

I've got a few years of interest left on my 2001 I bonds. will probably sell one before then for a new car purchase. Nice buy it and forget it investment.

Owners of Series I bonds will pay a penalty of the last three months of interest if they cash the bonds before they've owned them for five years.

When Should I Cash Out My I Bonds? | Keil Financial Partners.

I was in when it was 9.6%. When it dropped off the 9.6, I sold, penalty free. I then went to CD's as they were and are paying better.

The $11208 figure is with the penalty already extracted.

I also purchased one in 2022. Easy enough to buy, but how do I sell it?

You go to the Treasury Direct site, & keep selecting the bond you wish to sell, until you hit the page where Redeem is an option & there are no further bond selecting options. Then select Redeem.

Where did you get your CD from?

Online banks tend to pay the highest rates.

12 Best CD Rates for January 2024 (Up to 5.65%) - NerdWallet

Today's t bill auction 26 week 5.264% APY - No hassle buy and sell direct from government on line. Same gov site as I bonds.

About 7.6% annual rate. .
very well done, including penalty.

FYI, Appears from cut and paste below (out of curiosity from this tread) a few min ago from Treasury Direct that IBonds are still holding at a decent rate of 5.27%.. Also Fixed rate has nudged up a bit, but only applies to new stuff to receive the fixed rate, I believe,

Series I Savings Bonds
5.27%
This includes a fixed rate of 1.30%
For I bonds issued November 1, 2023 to April 30, 2024.

penalty free... Nope

CDs were and are paying better than 9.6? Nope.

Just curious how you got out penalty free?