[George from New England]

“This rate applies for the first six months you own the bond.”

But won’t you get severely penalized if you cash in at seven months. You must hold for years or you never realize this 7% return. Another fed racket.

[sergeantdave]

From the treasury website:

“You can redeem the bond after 12 months. However, if you redeem the bond before it is five years old, you lose the last three months of interest.”