Compliance Question of the Week

We have a member that has power-of-attorney for her mom. Our member is presenting us with US Savings Bonds payable to her mom, but they have not been endorsed by the payee nor is she present. Can we still negotiate the Bonds since the daughter has power-of-attorney?

According to the Savings Bond User Guide, a financial institution may not negotiate a savings bond for a power-of-attorney. The request must be directed to the Federal Reserve Bank Savings Bond Processing Site.

From the Guide (page 27):

You are not authorized to pay the following transactions:

  • Bonds that have not been held for 12 months since the issue date, except for cases where you have been granted a waiver through the TRS site due to hardship. Such waivers generally cover a specific region of the country for a specific period of time; the TRS site will provide a special announcement about this, located at
  • Bonds of Series F, G, J, K, H, and HH; Individual Retirement Bonds; and Retirement Plan Bonds.
  • Bonds presented by an attorney-in-fact (power of attorney). These transactions should be forwarded to the Bureau of the Public Debt.
  • Bonds issued in the name of a corporation, partnership, association, or other type of company or institution in its own right.
  • Supporting evidence is required, except for qualified beneficiaries and court-appointed representatives of decedents’ estates.
  • The payee will not furnish a SSN.
  • A presenter requests a partial payment. These transactions should be forwarded to the Bureau of the Public Debt.
  • Bonds that are mutilated, altered, defaced, or irregular.
  • Bonds that are being redeemed for a non-citizen or foreign redemption. These transactions should be forwarded to your Treasury Retail Securities Site.

Related Links:

US Savings Bond Resource Guide
US Savings Bond Forwarding Packets


Questions? Contact the Compliance Hotline: 1.800.546.4465,

Posted in Compliance News, NWCUA.