Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Can someone please explain Treasury Direct?
Old 05-30-2020, 12:53 PM   #1
Recycles dryer sheets
 
Join Date: Nov 2017
Location: St. Petersburg
Posts: 87
Can someone please explain Treasury Direct?

This is an embaressingly basic question, but can someone explain in real simple terms exactly what Treasury Direct is and what I can purchase through it?

Just as a side note, many years ago I was attending a seminar by the eccentric millionaire Arthur Jones the man who invented Nautilus equipment. He asked for questions, I went up to the mike and asked one. He said to me "son I have always believed that there is no such thing as a stupid question....well, you just proved me wrong." Arthur was not the most patient man.
__________________

LXEX55 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 05-30-2020, 01:36 PM   #2
Full time employment: Posting here.
Lawrencewendall's Avatar
 
Join Date: Feb 2017
Location: Severn
Posts: 623
Here's what's available to me. I bought some 4 & 8 week T-bills last year but let them expire as I found better places to park my money.

Learn more about Security Types.

Marketable Securities

Bills - Short-term securities of 1 year or less

Notes - Medium-term fixed-principal securities of 2 to 10 years

Bonds - Long-term fixed-principal securities of more than 10 years

TIPS Notes/Bonds - Medium or long-term Treasury Inflation-Protected Securities of 2 to 30 years

FRN - Medium-term Floating Rate Notes

View Tentative Auction Calendar.

View recent auction results.

Savings Bonds (NO Paper Savings Bonds)

Series EE - An accrual-type security with a fixed interest rate

Series I - An accrual-type security with a combination interest rate of a fixed and an inflation rate

Zero-Percent Certificate of Indebtedness

C of I - A non-interest bearing security which can be used to fund TreasuryDirect purchases
__________________

Lawrencewendall is offline   Reply With Quote
Old 05-30-2020, 01:41 PM   #3
Moderator
rodi's Avatar
 
Join Date: Apr 2012
Location: San Diego
Posts: 10,808
Treasurydirect.gov is the website where you can purchase, or convert, US government bonds.

My experience with it is limited to one set of transactions. I usually get some TIPS bonds as part of my tax refund. They mail me paper bonds - and I convert them to electronic bonds by going through hoops on the website to create a manifest, then mailing the bonds in. It's a weird process with a subaccount, etc. But once it's completed, the bonds are recorded as yours and no paper to potentially lose.

The website is not user friendly, IMO. But I did eventually figure it out enough to do this every year.
__________________
Retired June 2014. No longer an enginerd - now I'm just a nerd.
micro pensions 7%, rental income 18%
rodi is offline   Reply With Quote
Old 05-30-2020, 01:47 PM   #4
Thinks s/he gets paid by the post
OldShooter's Avatar
 
Join Date: Mar 2017
Location: City
Posts: 4,825
Quote:
Originally Posted by LXEX55 View Post
... what I can purchase through it? ...
You'll get that information but also be aware that bills, notes, bonds, and TIPS are also available through Schwab, Fido, VG, et al. It's as simple as buying anything else in your brokerage account. IIRC at Schwab there is no fee for buying treasury securities on the auction. Personally, I have no reason to go to Treasury Direct and screw around with transferring funds back and forth. Others may feel differently, though.

I have found it very useful to talk to the guys at the Schwab bond desk. They are not paid commissions and are very generous with their time when a customer needs education. In some cases you may pay a small fee for a meat-based order vs a web site order. I have had those fees waived, though. You can also call to get educated and then place the web order yourself.
OldShooter is offline   Reply With Quote
Old 05-30-2020, 01:48 PM   #5
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 25,935
I use treasurydirect.gov to purchase and redeem IBonds. I set up an account that links to my bank. Log on, check status like interest payments, purchase or redeem.
__________________
Retired since summer 1999.
audreyh1 is online now   Reply With Quote
Old 05-30-2020, 05:35 PM   #6
Thinks s/he gets paid by the post
 
Join Date: Feb 2014
Posts: 1,703
I signed up for it a long time ago but don't see the advantage. I can buy Bills in my brokerage account and have total liquidity, if it is in TDirect everything is a pain to move around. Seems more trouble than its worth.
jim584672 is offline   Reply With Quote
Old 05-30-2020, 09:06 PM   #7
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 25,935
Quote:
Originally Posted by jim584672 View Post
I signed up for it a long time ago but don't see the advantage. I can buy Bills in my brokerage account and have total liquidity, if it is in TDirect everything is a pain to move around. Seems more trouble than its worth.
Only way to buy IBonds online.

Yes, treasuries I buy through my brokerage.
__________________
Retired since summer 1999.
audreyh1 is online now   Reply With Quote
Old 05-31-2020, 06:57 AM   #8
Full time employment: Posting here.
 
Join Date: Nov 2014
Location: Austin
Posts: 849
Quote:
Originally Posted by audreyh1 View Post
I use treasurydirect.gov to purchase and redeem IBonds. I set up an account that links to my bank. Log on, check status like interest payments, purchase or redeem.
+1 I use treasurydirect to purchase ibonds once a year and to send in paper ibonds received through my tax refund to be converted to electronic ibonds.

Agree - it's not the most user friendly website, but once you get used to it, it's fine. Pro Tip to save frustration: Never ever use the "go back" feature of your browser to return to the previous page, unless you just like logging in again. Use only the navigation features within treasurydirect to move around....
big-papa is offline   Reply With Quote
Old 05-31-2020, 07:18 AM   #9
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 25,935
It’s very basic but quite straightforward, simple. Which is what I prefer by far.
__________________

__________________
Retired since summer 1999.
audreyh1 is online now   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Can someone explain TIPS to me please? utrecht FIRE and Money 38 10-10-2008 08:50 PM
Can Someone Explain? grumpy FIRE and Money 2 12-01-2006 02:10 PM
Treasury Direct -- can't get my money out JB FIRE and Money 26 07-03-2006 02:27 PM
Can someone explain Bond FUNDS to me? LRAO FIRE and Money 9 04-21-2005 08:16 AM

» Quick Links

 
All times are GMT -6. The time now is 08:01 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2020, vBulletin Solutions, Inc.
×