Buying government bonds as gifts

[victw]

Hi all,

I keep trying the treasury direct site - but I have not opened an account and find the website rather confusing.

2 questions
1) I bonds or EE bonds as gifts? I always thought I bonds were better -but if I'm reading this correctly - I bonds have a rate of 2.41 and EE 3.7. Which would make EE the better purchase.
http://www.publicdebt.treas.gov/sav/sav.htm
2) I would prefer to buy them and have paper bonds sent to the recipient. I have done this in the past. But now it looks like the recipient needs a treasury direct. Anybody know if there is an easy way to do this?

Thanks.
Vic

 

[GTM]

Paper bonds are not purchased through Treasury Direct, TD is used for online holdings.

Just go to your bank and ask for the form, fill it out and give it to the teller. They send it to the Treasury and you get the I or EE bonds in the mail within a few weeks.
Your account is debited for the amount of the bond.

Right now I would not buy either the EE or the I, rates are not in line with other bonds. You can wait until November 1 when the rates change and then see where they are.

If you decide to use Treasury Direct and purchase online Treasury Bills are a better deal than EE or I bonds.