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RESEARCH CENTER

Treasury Notes: FAQs

What are the maturity terms for Treasury notes?

We sell Treasury notes in terms of 2 years, 3 years, 5 years, 7 years, and 10 years.

How do I know when notes will be auctioned?

We auction 2-year notes, 3-year notes, 5-year notes, and 7-year notes every month. We auction 10-year notes at original issue in February, May, August, and November, and we auction them as reopenings in the other eight months. (For an explanation of reopenings, see the question below.)

For specific dates, see our Tentative Auction Schedule, which shows auction dates months in advance, or "Upcoming Auctions," which shows auctions that we have officially scheduled. (Auctions are officially scheduled only days before they are conducted.)

Also, you can sign up for e-mail notification of auctions.

What are reopenings, premiums, and accrued interest?

In a reopening, we auction additional amounts of a previously issued security. Reopened securities have the same maturity date and interest rate as the original securities, but a different issue date and usually a different price.

When you buy a reopened security, you have to pay a premium if the price of the security at reopening is greater than the face value of the security. The price of the reopened security will be determined at auction. Because the security is being auctioned at two separate times, market conditions probably won't be the same and, therefore, the prices likely won't be the same either.

Also, when you buy a reopened security, regardless of its price, you may have to pay accrued interest - interest the security earns from the original issue date of the security until the date we issue the security to you. However, we pay the accrued interest back to you in your first semiannual interest payment.

These notes are reopenings: the 10-year notes we auction in January, March, April, June, July, September, October, and December.

Do you still issue notes in paper form?

No. All Treasury notes are now issued and held electronically. Paper notes were issued in the past, but all of them have matured.

How can I place a competitive bid for a note?

To place a competitive bid, you must use a bank, broker, or dealer. (Our system, TreasuryDirect, allows only noncompetitive bids.)

How do I transfer a Treasury note from Legacy Treasury Direct* to TreasuryDirect?

To transfer a Treasury note from Legacy Treasury Direct to TreasuryDirect, take these steps:

  1. Open an account in TreasuryDirect. (If you already have an account, you may skip this step.)
  2. Complete the Legacy Treasury Direct form "Security Transfer Request" (PD F 5179). In the form's section 3, check the box for "Transfer to an Established Online TreasuryDirect Account Number." Your signature on this form must be certified. Your bank may provide this service.
  3. Mail the form to the Bureau of the Fiscal Service, at the address shown on the form.

*Legacy Treasury Direct is being phased out.