Ask HN: Have you bought I bonds yet? Why not?

#1

Post by brntsllvn » Thu, Sep 22, 2022, 5:12 PM UTC

The U.S. Treasury sells I bonds (inflation-linked bonds different from TIPS) which currently yield 9.62% and reset semi-annually with little (but not zero) cost of early sale. You can learn more about them here: https://www.treasurydirect.gov/indiv/research/indepth/ibonds/res_ibonds_ibuy.htm

If you have not bought I bonds yet, why not?

Re: Ask HN: Have you bought I bonds yet? Why not?

#2

Post by icapybara » Thu, Sep 22, 2022, 5:23 PM UTC

Their website is awful and I’m afraid my money will be locked away with no recourse due to a technical error.

Re: Ask HN: Have you bought I bonds yet? Why not?

#3

Post by komadori » Thu, Sep 22, 2022, 5:24 PM UTC

Only US citizens, residents, and government employees can buy them.

Re: Ask HN: Have you bought I bonds yet? Why not?

#4

Post by agentofoblivion » Thu, Sep 22, 2022, 5:30 PM UTC

Yes, I have. Just learned about these recently. Pretty sweet!

Re: Ask HN: Have you bought I bonds yet? Why not?

#5

Post by ralusek » Thu, Sep 22, 2022, 5:36 PM UTC

icapybara wrote: post #2

Their website is awful and I’m afraid my money will be locked away with no recourse due to a technical error.

I bought them, and everyone I know bought them. So for what it's worth, you'll at least be in good company. It won't be some forgotten bin of a handful of people with no recourse.

It also maxes at $10k a year, so you're not likely to be bankrupting yourself.

Re: Ask HN: Have you bought I bonds yet? Why not?

#6

Post by ElevenLathe » Thu, Sep 22, 2022, 5:36 PM UTC

icapybara wrote: post #2

Their website is awful and I’m afraid my money will be locked away with no recourse due to a technical error.

Same. For the potential upsides ($10,000 x 9% is $900, and that assumes I will keep it in cash otherwise), the downside risk is too great. If I could just click a button in my brokerage account and buy them, I would.

Re: Ask HN: Have you bought I bonds yet? Why not?

#7

Post by codegeek » Thu, Sep 22, 2022, 5:37 PM UTC

Yes. The limit is 10k per calendar year though in case anyone is wondering. Their website looks like it was built in 1995 and they make you type (edit: actual click on virtual buttons) the password (cannot copy/paste from password managers) because they have that "virtual keyboard" BS. But it did work ultimately.

Re: Ask HN: Have you bought I bonds yet? Why not?

#8

Post by freediver » Thu, Sep 22, 2022, 5:38 PM UTC

The cap of $10,000 makes it not very interesting from an investment standpoint. And while the yield is great on paper, it merely lets you keep up with inflation in practice.

There are probably better ways to use $10,000 if that is all you have and you are interested in growing money - online courses come to mind.

Re: Ask HN: Have you bought I bonds yet? Why not?

#9

Post by ed25519FUUU » Thu, Sep 22, 2022, 5:38 PM UTC

Probably one of the most user-hostile websites I’ve ever used. They actually expect you to “click” a virtual keyboard to input your password! Truly astounding.

Re: Ask HN: Have you bought I bonds yet? Why not?

#10

Post by amilios » Thu, Sep 22, 2022, 5:39 PM UTC

Because I am not a US citizen :)