DEFINITION of 'Qualified Savings Bond'

Refers to a series EE savings bond which has been issued after December 1989 and purchased by an individual at least 24 years of age.

BREAKING DOWN 'Qualified Savings Bond'

The interest from this type of bond is tax-free if you redeem it to pay for a higher education expense.

  1. Savings Bond Plan

    A program that allows employees to purchase U.S. savings bonds, ...
  2. U.S. Savings Bonds

    A U.S. savings bond is a government bond that offers a fixed ...
  3. Series I Bond

    Series I bond is a non-marketable, interest-bearing U.S. government ...
  4. Bond ETF

    Bond ETFs are very much like bond mutual funds in that they hold ...
  5. Issue

    An issue is the process of offering securities as an attempt ...
  6. Discount Bond

    A discount bond is a bond that is issued for less than its par ...
Related Articles
  1. Investing

    Surprise! The Best Long-term Bond Investment May Be Savings Bonds

    A 20-year Series EE savings bond pays more interest than a 20-year Treasury bond. So are government-issued long-term bonds the best bet going?
  2. Managing Wealth

    Great (Financial) Gifts For Kids This Christmas

    Parents, grandparents and other interested adults can give financial gifts to children that can help secure their futures, whether it’s saving for a first car, college or a down payment on a ...
  3. Investing

    Corporate Bond Basics: Learn to Invest

    Understand the basics of corporate bonds to increase your chances of positive returns.
  4. Investing

    Taxation rules for bond investors

    Several factors affect the taxable interest that must be reported. Learn more here.
  5. Investing

    The Basics Of Bonds

    Bonds play an important part in your portfolio as you age; learning about them makes good financial sense.
  6. Investing

    Top 6 Uses For Bonds

    We break down the stodgy stereotype to see what these investments can do for you.
  7. Investing

    The Best Bet for Retirement Income: Bonds or Bond Funds?

    Retirees seeking income from their investments typically look into bonds. Here's a look at the types of bonds, bond funds and their pros and cons.
  8. Investing

    U.S. Corporate Bonds: The Last Safe Place to Make Money

    There aren't many other sources right now for relatively safe, steady income.
  9. Investing

    Basics Of Federal Bond Issues

    Treasuries are considered the safest investments, but they should still be analyzed when issued.
  1. Knowing the difference between EE and I bonds

    Read about the similarities and differences between the EE and I savings bond programs created by the U.S. Department of ... Read Answer >>
Hot Definitions
  1. Perfect Competition

    Pure or perfect competition is a theoretical market structure in which a number of criteria such as perfect information and ...
  2. Compound Interest

    Compound Interest is interest calculated on the initial principal and also on the accumulated interest of previous periods ...
  3. Income Statement

    A financial statement that measures a company's financial performance over a specific accounting period. Financial performance ...
  4. Leverage Ratio

    A leverage ratio is any one of several financial measurements that look at how much capital comes in the form of debt, or ...
  5. Annuity

    An annuity is a financial product that pays out a fixed stream of payments to an individual, primarily used as an income ...
  6. Restricted Stock Unit - RSU

    A restricted stock unit is a compensation issued by an employer to an employee in the form of company stock.
Trading Center