Savings Bond Rates Set to Slump Soon

Certain savings bond rates are about to drop sharply -- just as rates on every other government security are rising!

If you buy the government's Series I bond before Monday, you'll earn 6.73% interest for the next six months. But if you buy the inflation-adjusted bond after Monday, it's likely that you'll earn only about 2% for the coming six months! (The final determination on the new Series I bond rate will be made by the Treasury department on Monday.)

If you'd like an explanation, I'll give it my best shot. But if you are looking to lock in high rates -- for a while, at least -- you should rush to your financial institution or go to TreasuryDirect.gov and place your order. (Individuals can purchase up to $30,000 of paper I-bonds, and an additional $30,000 of bonds electronically every year.) ...