When a bond matures, the investor receives the face value.
Maturity Initially, the securities will be issued with a 10-year maturity; however, Treasury expects to issue other maturities over time. The index for measuring the inflation rate will be the non-seasonally adjusted Consumer Price Index-U. When a bond matures, the investor receives the face value. Government and have the least possible credit risk. Some have been stripped by the Treasury itself, others have been stripped by private dealers. Bills with one year 360 days maturities are auctioned quarterly.
If a municipal bond appreciates gains in value and you sell it before maturity, you may be subject to capital gains taxes. Some stripped Treasuries are more liquid than others. No matter what happens or who holds the bond, it will generate exactly the same amount of money.
The Treasury dictates the number of issues to auction under ceiling limits set by Congress. Treasury bills T-Bills are auctioned weekly with three month 90 days and six month 180 days maturities.
If you hold your security in TreasuryDirect or Legacy Treasury Direct, you can transfer it to an account in the commercial book-entry system or let us sell your security through our Sell Direct program for a modest fee.