Are there any redemption restrictions or penalties for early redemption?
Savings bonds are designed as longer-term investments, and generally cannot be redeemed during the first 12 months after you buy them (unless you are affected by a disaster, such as a flood, fire, hurricane, or tornado). Also, if you redeem a savings bond within the first five years, the three most recent months’ interest will be forfeited. After five years, no penalty will apply.
