Treasury Notes
Treasury notes, sometimes called T-Notes, earn a fixed rate of interest every six months until maturity. Notes are issued in terms of 2, 3, 5, and 10 years.
You can buy notes from us in TreasuryDirect and Legacy Treasury Direct. NOTE: At this time, only individuals can hold accounts in TreasuryDirect.
To compare the features of TreasuryDirect and Legacy Treasury Direct, see My Accounts.
You also can purchase notes through a bank or broker. You can hold a note until it matures or sell it before it matures. To buy a Treasury note through the U.S. Treasury, you place a competitive or noncompetitive bid for the note.
- Learn more in "Treasury Notes in Depth"
- Buy Notes in TreasuryDirect
- Buy Notes in Legacy Treasury Direct
Use Treasury Notes to:
- Finance education
- Supplement retirement income
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| Original Issue Rate: | The yield determined at auction. See rates in recent auctions |
| Minimum purchase: | $100 |
| Maximum Purchase (in a single auction): |
Non-competitive: $5 million Competitive: 35% of offering amount (See types of bidding in "Auctions in Depth") |
| Investment Increment: | Multiples of $100 |
| Issue Method: | Electronic |
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Rates & Terms
- The price of a note can be greater than, less than, or equal to the note's face value. For a complete description of price, see Treasury Notes: Rates & Terms.
- Notes pay interest every six months until maturity. At maturity, the face value of the note is paid to the owner.
Redemption Information
- Minimum Term of Ownership: None
- Interest Earning Period: To maturity
Tax Considerations
- Interest income is exempt from state and local income taxes.
- Interest income is subject to Federal income tax.
Treasury Notes-Related FAQs
- What are the maturity terms for Treasury notes?
- How do I know when notes will be auctioned?
- Do you still issue notes in paper form?
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