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Show new bond but the new bona would not catch up to cash value of the bid one until the 5th year. In addition the old 'bond would mature to $100 three months earlier than the new one. So in most cases, it is advisable to hold the old bonds. All E bonds as they mature, if left as they are, add 3 per cent compounded semiannual semi-annual interest to their face value, val-ue, payable when redeemed for as long as 10 years. BONDS ARE NOW BETTER THAN EVER President Eisenhower in signing sign-ing the law raising interest rates on Series E and H savings bonds said, "In a comparatively short span of years the U. S. savings bonds program has become an integral part of the American way of life. It has taught countless count-less Americans how to save today over 40 million people own more than $41 billion in Series E and H bonds. We want to see more people continually buying more bonds so that savings bonds will provide even greater financial finan-cial protection and at the same time help assure the economic stability of our country. I invite every citizen to take advantage of investing in the now better-than-ever United States Savings Bonds." The new E bonds will yield 3', i per cent per annum, compounded com-pounded semi - annually, when held to maturity of 8 years and 11 months with much higher redemption re-demption values in the early years a 3 per cent yield in 3 years formerly 2V per cent. The H bond has also been improved im-proved In that it pays toy semiannual semi-annual check interest amounting to 2.25 per cent over the first year and then pays at the rate of 3.38 per cent per annum the following 9 years to maturity. These increased rates apply to all E and H bonds purchased on and after February 1, 1957 even though, as an economy measure, bonds stock now on hand will be used. The date of the bond is the determining factor. Even though the new bonds will carry a higher interest yield, in most cases it will not be advantageous ad-vantageous to cash bonds for reinvestment re-investment in new bonds considering con-sidering the time and effort required. re-quired. For instance a $100 bond issued within the last year on its 1st year anniversary would have a cash value of $76.20. One year later, it would be worth, if cashed, $78.20. Two years from now $80.20, 3 years $82.20 4 years $85.00. If cashed the first year it would provide $1.20 over the $75.00 needed to invest irt a |