- I Bonds purchased from November through April will carry a composite rate of 2.83%, based on a fixed rate of 0.50% and inflation rate of 2.32%.
- The fixed rate of 0.50% is the highest in 10 years, and means the return on I Bonds is likely to at least match inflation, even after federal income taxes.
- The Treasury held firm on the 0.1% fixed rate for EE Bonds, but also retained terms that double their value in 20 years, for an effective interest rate of 3.5%.
Today’s announcement is very good news for I Bond investors, even for those who have already purchased their allocation for 2018. (The Treasury limits purchases to $10,000 per person per year.) But that clock restarts on January 1, so all investors will have access to the 0.50% fixed rate through April.