? Savings Bond Wizzard errors?

[Lakewood90712]

With all the post's on cashing in I bonds, I decided to run bond wizzard on my bonds.  For I bonds issued 11/2003 it is showing a comp. rate of 2.11 and for bonds issued05/2001 it is showing a comp rate of 4.02%. Rate, not yeild.

The I bond rate on the current us treasury s.b. report shows 6.83 as the comp rate for bonds issued 11/2003, and 8.79 for bonds issued 05/2001 .

Not being an accounting type,  do I need to go get a "Dumass" certificate, or does the prog. have some errors ?

 

[wabmester]

I think the wizard is correct.   The new 1% inflation adjustment kicked in on 05/01/2006, so any i-bond issued between November and July will have their rate reset to reflect the new adjustment.    Those bonds issued between August and October will still get the old higher adjustment for a bit longer.

Edit: oops, that's not quite right.    Those issued between February and April will also still get the old higher rate till their 6-month anniversary.

Basically, there are two new issues per year (May-Oct, and Nov-Apr), and each bond gets their inflation rate reset depending on when they were issued:


Issue DateReset Date
May or NovMay and Nov
Jun or DecJun and Dec
Jul or JanJul and Jan
Aug or FebAug and Feb
Sep or MarSep and Mar
Oct or AprOct and Apr


Since we're now in July, half of the sets have now reset (May/Nov, Jun/Dec, and Jul/Jan).

 

[Lakewood90712]

Thank's Wab.