As the cost of living rises, a federal legislator wants to remove any barriers to purchasing Series I bonds, an inflation-protected and nearly risk-free asset. Which currently pays 9.62% annual interest through October.
Representative Abigail Spanberger, D-VA, sent a letter Thursday to Treasury Secretary Janet Yellen expressing concern The Difficulties of Buying I Bonds Between rising inflation and volatility in the stock market.
Spanberger wrote in a letter, “During this inflationary crisis, the Treasury Department must do more to ensure that red tape and outdated systems don’t prevent Americans, especially senior citizens, from accessing savings options that don’t help them.” Can save money from inflation and market swings.”
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What’s to Know About Buying Series I Bonds Through TreasuryDirect?
I bonds have seen unprecedented demand since the annual rate increased to 7.12% According to a Treasury official, 1.85 million new savings bond accounts will open in November by June 24.
Investors face identity verification hurdles
Investors can buy I bonds after opening the account Treasury Direct, While many register without issues, some accounts require additional identity verification, which includes bringing Form 5444 For a “signature guarantee” before mailing it back to a bank or credit union.
“While I understand the need for fraud prevention, this complex process prevents Americans from opening these accounts,” Spanberger wrote, noting that some investors may give up or “miss out weeks to earn interest.” “
The letter calls for more identity verification options, such as using a notary public, and the ability to submit forms online. Treasury officials told CNBC in June that they Working on expanding certification to any notary public.
Customer service is ‘extremely difficult’ to reach
The letter also addresses concerns about the customer experience, including phone support and challenges in accessing the TreasuryDirect website.
“It is extremely difficult for Americans to reach customer service representatives,” Spanberger wrote, regularly citing wait times exceeding two hours.
He urged the Treasury to increase customer support capacity and report on progress to improve the website, requesting Congress for additional resources for both efforts if necessary.
“We are committed to ensuring that TreasuryDirect users have a positive customer experience,” a Treasury spokesperson said. told CNBC in JuneHighlighting recent changes, such as relocated resources, hiring temporary staff, and website and phone support improvements.
“We are also in the process of developing an updated, modern replacement for the existing Treasury Direct system,” he added.