If 13 week bills are at 6%, that is an annual rate. So you'd get a little less than 1/4 of that. A little less because the 13, 26 and 52 week bills are sold at a discount from face and redeemed at face when they mature. Assuming you are buying through Treasury Direct, you send in a tender form (which you get from the Federal Reserve bank closest to you) with a check for $1000 for each bill you want. The form includes the number for your bank. When the bill matures, you are paid via direct deposit into your bank account. The treasury obligations up to 1 year are called bills and they are sold at a discount as described. The 2 through 10 year are called notes and you receive interest every 6 months. The 30 year is called a bond and you receive interest every 6 months. In all cases the interest is paid by direct deposit so no check gets lost in the mail nor is it in your mailbox where someone might take it. Best wishes, Chris
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Ra