Treasury Notes
We sell Treasury Notes for a term of 2, 3, 5, 7, or 10 years.
Notes pay a fixed rate of interest every six months until they mature.
You can hold a note until it matures or sell it before it matures.
Notes at a Glance
| Now issued in | Electronic form only |
|---|---|
| Matures in | 2, 3, 5, 7, or 10 years |
| Interest rate | Fixed at auction. It doesn't change over the life of the note. It is never less than 0.125%. |
| Interest paid | Every six months until maturity |
| Minimum purchase | $100 |
| In increments of | $100 |
| Maximum purchase | $10 million (non-competitive bid) / 35% of offering amount (competitive bid) |
| Auction frequency | 2, 3, 5, and 7-year notes: monthly. 10-year notes: Feb., May, Aug., Nov., with reopenings 8 times a year. |
| Taxes | Federal tax due each year on interest earned. No state or local taxes. |
| Eligible for STRIPS? | Yes |