Glossary of Terms
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A
Accrual-type Savings Security
A savings bond or note having a redemption value (see Current redemption value) that increases periodically (typically, either every six months or monthly) as interest is added to the security's issue price (principal). Interest accrues on such a bond or note and becomes a part of the redemption value (principal + interest), which is paid when the bond or note is cashed. Series I/E/EE bonds, savings notes, retirement plan bonds, and individual retirement bonds are the currently outstanding accrual-type securities. Series A through Series D bonds as well as Series F and J bonds, all matured, were also accrual-type securities. Also referred to as an Appreciation-type Security.
Administered Estate
This term refers to the estate of a decedent, which is being formally administered through court proceedings that typically involve the appointment of a legal representative, such as an administrator or executor. In other words, the court is supervising the settlement of the estate.
Administrator
A person appointed by a court to administer (or otherwise settle) the estate of a deceased person.
Appreciation-type Savings Security
See Accrual-type Savings Security
B
Baby Bonds
A name given to the Series A-1935 savings bond, but carried over to Series B-1936, C-1937 & 1938, and D-1939, 1940, & 1941 (through April) savings bonds.
Backup Withholding
Under certain circumstances, the Internal Revenue Service (IRS) may require Public Debt to withhold and pay to the IRS payments due to be made to a taxpayer. Payments that may be subject to backup withholding include interest, dividends, and other miscellaneous payments. Payments are subject to backup withholding if:
the bond owner doesn't provide his correct taxpayer identification number (TIN) to Public Debt in the manner required by the IRS.
the IRS tells Public Debt that the bond owner provided an incorrect TIN.
the IRS tells the bond owner that he's subject to backup withholding on interest or dividends because he has underreported interest or dividends on his federal income tax return. (The IRS will do this only after it has mailed to the taxpayer four notices over at least a 120-day period.)
the bond owner is required, but fails, to certify to Public Debt that he is not subject to backup withholding.
Beneficiary
The beneficiary is the individual designated by name on the bond's face who becomes the owner only upon the death of the individual who is designated by name as the owner on the bond's face. Bonds bearing the name of a beneficiary are registered, for example, "John Smith Payable on Death (POD) to Jane Smith." "Jane Smith" is the beneficiary.
Beneficiary Under a Trust
The person for whose benefit a trust is created or who is entitled to the income from a trust.
Bequest
A gift by will of personal property; a legacy.
Bond of Indemnity
A written instrument stating a fixed sum as a penalty, binding the parties to pay that penalty unless one or more of the parties performs a certain act.
C
Certificate of Indebtedness (C of I)
Also known as a Zero-Percent Certificate of Indebtedness, this is a security that can be funded within your TreasuryDirect account and used to purchase other securities. It's issued daily with a one-day maturity that automatically rolls over at maturity -- and continues to do so until you request redemption. It does not earn interest. The purpose of a C of I is to accumulate funds for the purchase of another eligible security in the TreasuryDirect system. There is no limit to the total amount that you can hold in the C of I.
Certification
Process by which a bank or other financial institution guarantees a signature in the request for payment on a savings bond, a request for reissue, or other application or request relating to savings bonds.
Certified Copy
Copies of original legal documents that contain a raised or impressed seal plus statements about the accuracy and authenticity of the documents.
Certifying Officer
An officer or other employee of a bank, trust company, or credit union, who is expressly authorized by the institution to certify or guarantee signatures.
Co-owner
Co-owners are two individuals designated in the alternative on the face of a bond with their names shown, for example, as "John Smith OR Jane Smith." (The form of registration "John Smith and Jane Smith" is not authorized.) Either co-owner may cash/redeem the bond without the consent of the other co-owner.
Current Income Savings Bond
A savings bond, typically Series H or HH, on which interest is paid every six months, usually via Direct Deposit, to the owner or co-owners. The purchase or issue price of a current income savings bond (the principal) is its face (or par) value and remains constant. Series G and Series K bonds, both now matured, were also current income savings bonds.
Current Redemption Value (CRV)
What a bond is worth.
D
Decedent
A deceased person.
Denomination
The dollar amount shown on the face of the security (also referred to as "face amount" or "face value").
Direct Deposit
The automatic deposit of payments to a checking or savings account at a financial institution. Direct deposit of interest payments on Series HH/H bonds is required on all bonds purchased October 1989 and later. HH/H bonds with issue dates prior to that date may be directly deposited.
E
Earnings Rate
An I Bond's earnings rate is a combination of two rates: a fixed rate of return and a semiannual inflation rate. Each May and November, Treasury announces a fixed rate of return for I Bonds issued during the six-month period starting with the effective date of the announcement. An I Bond's fixed rate when it's purchased is the bond's fixed rate throughout the bond's 30-year life. A semiannual inflation rate announced in May is a measure of inflation from October through March. The rate announced in November is a measure of inflation from April through September. Twice a year--on the anniversary and 6 months later on the semiannual anniversary of an I Bond's issue date--the earnings rate can change because the bond's fixed rate is newly combined with a semiannual inflation rate that can vary.
Education Feature
Interest earned on EE bonds with January 1, 1990 and later issue dates may qualify for exclusion from income for Federal income tax purposes if the owner pays his or her tuition and required fees or those of his or her spouse or legally dependent children at colleges, universities, and qualified technical schools during the year eligible bonds are redeemed. Costs of room, board, and books are excluded. To be eligible, bonds must have been issued to a person 24 years old or older on the first day of the bonds' issue months. The bonds have to be in the name of the taxpayer who will claim the exclusion. The taxpayer's spouse can be a co-owner. Qualifying expenses are tuition and required fees at an eligible institution incurred by the taxpayer, his or her spouse, or children who are his or her legal dependents.
The "Taxpayer Relief Act of 1997," enacted August 5, 1997, included contributions to qualified State tuition programs in the definition of qualified higher education expenses. Excludable interest cannot be greater than eligible education expenses and is proportionately reduced when total redemption value of qualifying bonds is more than the total of such expenses. For example, 80% of interest is excludable if qualifying expenses total $8,000, bond redemption proceeds are equal to $10,000, and all other relevant conditions of the tax regulations are met. Married taxpayers filing separately aren't allowed to claim the exclusion. Bond owners claiming the exclusion must keep complete records concerning bonds on which excluded interest was earned.
The tax benefits of the interest exclusion are based on the modified adjusted gross income (MAGI) of the taxpayer. For taxpayers filing a joint Federal income tax return, the exclusion is gradually reduced for taxpayers with modified adjusted gross incomes between certain limits (originally set at $60,000 and $90,000 for joint return filers and at $40,000 and $55,000 for single filers and heads of households) and not available above the high ends of current ranges. Since 1990, these income limits have been adjusted annually.
See IRS Publication 550 "Investment Income and Expenses", and IRS Form 8815 for details.
EFT (Electronic Funds Transfer)
See Direct Deposit
Exchange
"Exchange" and "Redemption-Exchange" are interchangeable terms referring to the authorized redemption (payment) of eligible securities presented and surrendered for the purpose of applying the proceeds (what they're worth) for other securities according to Treasury regulations. The current exchange offering (See Title 31 Code of Federal Regulations part 352, also available as Department of the Treasury Circular, Public Debt Series 2-80) permits owners of Series E and EE savings bonds as well as savings notes ( but not Series I Bonds ) to exchange a minimum of $500 worth of such securities for current income savings bonds of Series HH and continue to postpone reporting interest (for Federal income tax purposes) on the securities surrendered until the HH bonds are cashed, reach final maturity (20 years after issue), or some other taxable transaction occurs, whichever happens first. The deadline for exchanging E and EE bonds, as well as savings notes, is one year following the month those securities reach final maturity and stop earning interest. Please note: August 2004 will be the last issue month for HH/H bonds. After August 31, 2004, you will no longer be able to exchange your EE/E bonds for HH bonds.
Executor
The person designated in a decedent's will to carry out the directions and requests in the will and to dispose of the property according to the testamentary provisions.
Extended Maturity Period
A period (typically 10 years long for pre-May 1995 bonds) after the original maturity date during which a bond continues to earn interest according to applicable regulations (e.g., Department of the Treasury Circular, Public Debt Series, No. 1-80, as revised and amended, for Series EE bonds). It is also sometimes referred to as an extension period.
Extension Period
F
Face Amount
See Denomination
Face Value
See Denomination
Fiduciary
A person undertaking the duty to act primarily for another's benefit (e.g., executor, administrator, trustee, guardian).
Fiduciary Capacity
Relates to conducting business or handling property for the benefit of another person.
Final Maturity
The first day of the month in which a bond stops earning or bearing interest at the end of the final extended maturity period. In other words, the point at which a bond quits earning interest (Original maturity + extension(s) = final maturity). It is also known as the final extended maturity date.
G
Gift Bond
A gift bond is a savings bond or note that does not bear the name of the purchaser as owner or as either co-owner.
Guaranteed Minimum Rate
Officially known as "guaranteed minimum investment yields," these are relevant only to interest earnings for Series E and EE savings bonds and savings notes that have issue dates prior to May 1, 1995. These yields are applied as rates to produce amounts such bonds are guaranteed to be worth and are specified in offering regulations. Calculations using guaranteed rates never include possible bond redemption values produced by market-based rates. (See Market-based Interest Rate) The "guaranteed minimum investment yield" is a measure of the minimum overall return from the issue date to any later interest accrual date during the original maturity period. In the case of a bond in extended maturity periods, a measure of the overall return from what the bond was guaranteed to be worth at the start of the extension period the bond is in to any later interest accrual date during that extension period. When comparing guaranteed with market-based returns, the comparison involves comparing the guaranteed return with the market-based return over a bond's entire life from the date of issue, or, if issued before November 1, 1982, from the date a bond first went up in value on or after November 1, 1982. (A bond's "life" ends when the bond stops earning interest.)
I
Income Limits for Education Feature
Individual Retirement Plan Bonds
Nontransferable accrual-type U.S. savings securities sold to individuals eligible to participate in an Individual Retirement Arrangement (IRA). These bonds were first issued in January 1975 after enactment of the Employee Retirement Income Security Act of 1974 ("ERISA"). The sale of these bonds was terminated April 30, 1982. (Regulations governing these securities are in Title 31 Code of Federal Regulations Part 346, also published as Department of the Treasury Circular, Public Debt Series No. 1-75.)
Inscription
The social security account number or, if assigned by the IRS, the employer identification number, names, connective ("OR", "POD", "Payable on death to"), and addresses appearing on the face of a bond. See also Registration.
Interest
Compensation at a specified rate, which is paid for the use of money.
Interest (Compound)
Interest upon interest, where accrued interest is added to the principal sum, and the whole treated as new principal, for the calculation of the interest for the next period.
Interest (Simple)
Compensation which is paid for the use of the principal (sum lent), at a certain rate made by law.
Interest Accrual
Interest earned by an appreciation-type or accrual-type savings security, such as a Series EE bond, and added to what the bond was worth either at the time it was purchased or at some point thereafter according to applicable regulations.
Interest Income Statement (1099-INT)
A paper information return showing the amount of reportable interest paid to a taxpayer. Typically, the return shows the total amount of such interest paid to that taxpayer in a year. This return has to be mailed to the taxpayer no later than the end of January following the tax year in which the payment of interest to the taxpayer occurred. The statement may include interest on accrual (EE/I/E) or current income (HH/H) savings bonds.
Issue Date
The first day of the month in which payment of the issue price is received by an authorized issuing agent. This means that the issue date is the first day of the month in which the bond is purchased. The issue date is inscribed in the upper right-hand corner of the bond. The issue date is the date used for determining when the bond is eligible for payment, the amount at which an accrual type bond is redeemed, the interest payment dates on current income savings bonds (such as H and HH), and the date the bond reaches final maturity and ceases earning interest.
Issue Price
The actual amount paid to purchase a savings bond. Series E bonds were purchased for 75% of face value (for example, $18.75 for a $25 E Bond); Series EE bonds are purchased for 50% of face value; and I Bonds are bought at face amount (for example, you pay $50 for a $50 I Bond).
L
Legal Representative
A person appointed by a court to act on behalf of the estate of another. This is a generic term encompassing all types of representatives, including executors, administrators, personal representatives, and guardians.
Long-term Rate
The long-term rate applies only to interest on Series EE savings bonds with issue dates from May 1, 1995, through April 1997 and then only to interest earnings after the date these bonds are 5 years old. (See " Short-term Rate" concerning interest earned up to the date these bonds are 5 years old.)
Bid yields for the most actively traded Treasury bills, notes, and bonds in the government securities market are used to create a yield curve. This curve relates the yield on a security to its time to maturity. Yields at particular points on the curve are referred to as "constant maturity yields."
From the yield curve, 5-year Treasury securities yields as of the close of business for each business day of the 6 months prior to May 1 and November 1 are compiled, and the monthly average is calculated for each month (with each monthly average being rounded to the nearest one-hundredth of one percent). The "long-term rate" is 85% of the average of 5-year Treasury securities yields over those 6 months. The May 1 rate reflects market yields during the preceding November through April. The November 1 rate reflects market yields during the preceding May through October.
M
Market-based Interest Rate
Officially known as the "market-based variable investment yield," it is relevant only to interest earnings for Series E and EE savings bonds and savings notes that are at least 5 years old, earned interest on and after November 1, 1987, and have issue dates prior to May 1, 1995.
Bid yields for the most actively traded Treasury bills, notes, and bonds in the government securities market are used to create a yield curve. This curve relates the yield on a security to its time to maturity. Yields at particular points on the curve are referred to as "constant maturity yields."
From the yield curve, five-year Treasury securities yields as of the close of business for each business day of each of the six months prior to May 1 and November 1 are compiled, and the monthly average is calculated for each month (with each monthly average being rounded to the nearest one hundredth of one percent). For each 6-month period, starting with the 6-month period that began on May 1, 1982, the average of the monthly averages is determined.
The six-month averages applicable over the entire life of an eligible bond-- i.e., the period from the base date (a bond's issue date or the first date the bond or note increased in value during the period November 1, 1982 through April 1, 1983, whichever date occurred later)--are averaged. That average is discounted by 15% (i.e., 85% of the average is computed) and the result is rounded to the nearest one hundredth of one percent. (If the bond or note is now in an original or extended maturity period that started before May 1989, the rounding is to the nearest one quarter of one percent, rather than the nearest one-hundredth of one percent, until the end of that period.) For each date an eligible bond or note is due to increase in value, the resulting percentage is then used to re-calculate anew starting over from the base date (as defined above) what the eligible bond or note is possibly worth.
Military Safekeeping
See Safekeeping
Minor
A person who is under the age of legal competence; a person under the age of majority.
N
Non-administered Estate
An estate of a decedent the settlement of which is not supervised by the court and for which a legal representative has not been appointed by the court.
O
Original Maturity
The original (or initial) term fixed for a bond. During this original term (or period), the bond increases in value and becomes worth at least its face amount.
P
Par Value
See Denomination
Payroll Savings Plan
A plan that may be offered by employers to their employees that permits employees to authorize regular deductions from their pay to buy bonds. Each deduction need not equal the purchase or issue price of a savings bond. Deductions may be accumulated by the employer or a third-party service organization on its behalf until sufficient money is on hand to buy a bond of the denomination selected by the participating employee. Participation in a payroll savings plan and offering such a plan are entirely voluntarily.
Penalty
A loss consisting of the most recent 3 months' interest for EE bonds with May 1997 or later issue dates, and I Bonds, if the bonds are redeemed in the first 5 years after issue. In other words, if you redeem a May 1997 or later EE bond, or an I Bond, before it's 5 years old, you give up the last 3 months' worth of interest. For example, if you buy an EE bond in May 1997 and redeem it 2 years (24 months) later, you get your original investment back plus 21 months of interest. The value of the bond would be based on the announced rates applied over the 21-month period from May 1997 to February 1999.
Power of Attorney
An instrument whereby the person (grantor) giving the power authorizes another (attorney-in-fact) to act on his or her behalf. The instrument itself is called a power of attorney. The person acting under the power is called an attorney-in-fact.
Principal Co-owner
The principal co-owner is the co-owner whose funds were used to purchase the savings bonds or who received the bonds as a gift, as an inheritance, or through court proceedings and had the bonds reissued to add another person as co-owner without receiving any contribution from that other person.
Purchase Limitation
Series EE bonds are limited to an investment of $5,000 per person, per calendar year. For Series I Bonds, the purchase limit is $5,000 (par value) in the name and taxpayer identifying number (usually, Social Security Account Number) of any one person in an individual capacity.
Bonds the purchaser obtained in earlier years don't affect the current year's limitation. Bonds purchased and redeemed in the same calendar year are also excluded from the computation.
For Co-owners - Series EE bonds registered in the names of two persons as co-owners are attributed to the first-named co-owner.
For Beneficiaries - Purchases are attributable to the owner, not the beneficiary.
For Fiduciary Estates - Bonds held by persons serving as guardian or in another fiduciary capacity are computed separately from personal purchases that list them as owner or first-named co-owner.
R
Redemption
"Redemption" and "payment" are used interchangeably and refer to the payment of what a bond or note is worth in cash (currency) or via check or credit to an account as requested by the bond's owner or co-owner or by a person legally entitled to make such a request according to governing regulations and law.
Regional Delivery System (RDS)
A system that permits the public to buy bonds locally through financial institutions at which they conduct their everyday banking transactions. These local institutions accept customers' Series EE and Series I savings bond purchase orders with the purchase or issue price, and submit them to their servicing Federal Reserve Processing Office. Bonds are then issued and mailed to addresses purchasers specify on their orders.
Registration
The social security number or employer identification number, names, and addresses appearing on the face of a bond. Also referred to as Inscription.
On paper savings bonds issued or replaced on or after August 1, 2006, the first five digits of the Social Security number or Employer Identification number will be masked and replaced with asterisks. This is being done to protect your privacy and to prevent the information from being used for identity theft.
Reinvestment
When proceeds from a Series H bond that has reached final maturity (30 years from date of issue) are used to "buy" a Series HH bond with a current issue date.
Reissue
The cancellation and retirement of a bond and the issuance of a new bond or bonds of the same series, same issue date, and same total face amount. Reissue is a transaction requested in order to change bonds' registrations, that is, to re-register savings bonds. (Note: Situations for which Series I bonds may be reissued are more limited than for Series EE and other savings bonds.)
Replacement
Issuance of a new bond when a bond is reported lost, stolen, destroyed, mutilated, or not received.
Reportable Event
A transaction, such as a savings bond redemption or reissue (re-registration), that requires Federal income tax reporting of all interest earned from the issue date of a savings bond to the date of the transaction. Savings bond redemptions ordinarily are reportable events or dispositions. A reissue transaction is a reportable event if a living owner, principal co-owner, surviving co-owner, beneficiary, or other person entitled to ownership (for example, an heir upon the death of persons named on the bond) is not named owner or principal co-owner in the new registration on the bond issued in the transaction. (See IRS Publication 550, "Investment Income and Expenses", for more information.)
Retirement Plan Bonds
Nontransferable accrual-type U.S. savings securities issued as an investment option for individuals eligible to make tax-deductible contributions to a "Keogh" (H.R. 10) retirement account. These bonds were first issued in January 1963 after enactment of the Self-Employed Individuals Tax Retirement Act of 1962. The sale of these bonds was terminated April 30, 1982. (Regulations governing these securities are in Title 31 Code of Federal Regulations Part 341, also published as Department of the Treasury Circular, Public Debt Series No. 1-63.)
S
Safekeeping
Safekeeping is a benefit offered to active duty military members who purchase savings bonds through the payroll savings plan. This benefit allows the military members to have their bonds held by their branch of service instead of having the bonds issued and mailed directly to them.
Savings Bond
A savings security issued by the U.S. Treasury or an authorized agent showing that money has been loaned to the U.S. Government and is payable to the person to whom it is registered. A "savings bond" is designated as such in the regulations offering the bonds for sale. The bond is a contract between the Government and the bond owner. Each bond is a registered security for which a record is maintained by the Bureau of the Public Debt.
Savings Notes
Savings notes are accrual-type, United States savings securities issued in conjunction with Series E bonds from May 1967 through October 1970. These notes are also called "Freedom Shares." They had an original maturity period of 4 years and 6 months and have a total interest-earning life span of 30 years. Like savings bonds, they are nontransferable. They were purchased on a discount basis at 81 percent of face value in denominations of $25, $50, $75, and $100. (Regulations governing these securities are in Title 31 Code of Federal Regulations Part 342, also published as Department of the Treasury Circular, Public Debt Series No. 3.67.)
Savings Stamps
From at least the early 1940's until it was ended on June 30, 1970, the savings stamp program focused first on funding U.S. participation in World War II and later primarily upon encouraging thrift among the nation's youth by persuading them to save small sums. Stamps were sold in denominations (face values or amounts) of $0.10, $0.25, $0.50, $1.00, and $5.00. Stamps were acquired from post offices and sold in schools to students. Albums and patriotic materials were made available to schools to promote the program. When as little as $18.75 had been saved, a $25 (face amount) Series E savings bond could be purchased. Stamps were non-interest bearing and unregistered.
Series EE U.S. Savings Bond
A Series EE U.S. Savings Bond is an appreciation-type (or accrual-type) savings security issued after 1979 that is a contract between the owner or co-owners and the United States. Under the contract, the owner or co-owners lend money to the United States, and the U.S. must repay that money with interest when the bond is redeemed. (You can cash Series EE bonds anytime after 12 months.) Interest stops accruing 30 years after issue, and the interest rate is subject to change at the beginning of each extended maturity period. (Regulations for these securities are in Title 31 Code of Federal Regulations Parts 351 and 353, also published as Department of the Treasury Circulars, Public Debt Series Nos. 1-80 and 3-80.)
Series HH U.S. Savings Bond
A Series HH U.S. Savings Bond is a current income savings bond issued after 1979 that is a contract between the owner or co-owners and the United States. Under the contract, the owner or co-owners lend money to the United States, and the U.S. must both repay that money when the bond is redeemed at 6 months after issue or later. The U.S. must also pay interest to the owner or co-owners starting at six months after issue and every six months thereafter until the bond stops bearing interest 20 years after issue. The interest rate is subject to change after Series HH bonds are 10 years old. (Regulations for these securities are in Title 31 Code of Federal Regulations Parts 352 and 353, also published as Department of the Treasury Circulars, Public Debt Series Nos. 2-80 and 3-80.)
Series I U.S. Savings Bond
A Series I Bond is an appreciation-type (or accrual-type) savings security issued after August 1998 that is a contract between the owner and co-owners and the United States. ($200 and $10,000 I Bonds are issued no earlier than May 1999.) Under the contract, the owner or co-owners lend money to the United States, and the U.S. must repay that money with interest when the bond is redeemed. (You can cash Series I bonds anytime after 12 months.) Interest stops accruing 30 years after issue. Interest accumulates monthly (with semiannual compounding) and is paid when the bond is redeemed. Interest earnings are inflation-indexed. The I Bond earnings rate is a combination of two separate rates: a fixed rate of return (set by the Treasury Department) and a variable semiannual inflation rate (based on changes in the nonseasonally adjusted Consumer Price Index for all Urban consumers). (Regulations for these securities are in Title 31 Code of Federal Regulations Parts 359 and 360, also published as Department of the Treasury Circulars, Public Debt Series Nos. 1-98 and 2-98.)
Short-term Rate
The short-term rate applies only to interest on Series EE savings bonds with issue dates from May 1, 1995, through April 1997 and only to interest earnings up to the date these bonds are 5 years old. (See " Long-term Rate" concerning interest earned after these bonds are 5 years old.)
Bid yields for the most actively traded Treasury bills, notes, and bonds in the government securities market are used to create a yield curve. This curve relates the yield on a security to its time to maturity. Yields at particular points on the curve are referred to as "constant maturity yields."
From the yield curve, 6-month Treasury securities yields as of the close of business for each business day of the 3 months prior to May 1 and November 1 are compiled, and the monthly average is calculated for each month (with each monthly average being rounded to the nearest one-hundredth of one percent). The "Short-term rate" is then 85% of the average of 6-month Treasury securities yields during the preceding February, March, and April. The November 1 rate reflects market yields during the preceding August, September, and October.
Single Owner
The person designated on the face of the bond as the only person entitled to redeem the bond during his or her lifetime. Also referred to as sole owner.
Sole Owner
See Single Owner
T
Taxpayer Identification Number
A taxpayer identification number (TIN) is either a social security account number or employer identification number, depending on whether the number is assigned to an individual or to an entity, such as a trust, estate, corporation, etc. Both are nine-digit numbers. The employer identification number is assigned by the IRS.
Tax Deferral
A taxpayer defers taxation when postponing reporting income for Federal income tax purposes in accordance with applicable tax laws and regulations.
Term
The time period--original, extended, or from issue date to final maturity-- during which a savings bond earns interest.
Trust
Property, real or personal, held by one person for the benefit of another.
Trustee
The person appointed to administer or manage a trust estate.
Trustor
The individual (in some instances, an institution or organization) who creates a trust. The Trustor may also be called the Maker, Donor, Grantor, or Settler.
U
U.S. Savings Bonds
See Savings Bond
V
Voluntary Guardian
An individual who is recognized by the Department of the Treasury as authorized to act for an incapacitated person as provided in the regulations governing U.S. Savings Bonds (31 CFR 315.64 also in Section 315.64 in Department of the Treasury Circular No. 530; 31 CFR 353.64 also in Section 353.64 in Department of the Treasury Circular, Public Debt Series No. 3-80; and, 31 CFR 360.64 also in Section 360.64 in Department of the Treasury Circular, Public Debt Series No. 2-98).
Y
Yield from Issue Date
This is a percentage expressed as an annual rate that describes the overall increase in an investment's value and is a measurement of the gain from the time the investment was made or started. Such a percentage is the result of computations using the amount of the initial investment, what the investment is worth on some later date--today or in the future--and the amount of time from when the investment was made to the later date.
