What is TreasuryDirect?
TreasuryDirect is the website used by the U.S. Treasury Department to sell Treasury securities directly to investors.
How Does TreasuryDirect Work?
TreasuryDirect is the first and only financial services website that lets investors purchase and redeem securities (like U.S. government bonds) directly from the U.S. Department of the Treasury in paperless electronic form. The TreasuryDirect system is run by the U.S. Treasury's Bureau of the Public Debt.
The U.S. Department of the Treasury issues bonds (T-bonds), bills (T-bills) and notes using a Dutch auction system in which it grants the best prices to competitive bidders. This process was computerized with the introduction of the Treasury Auction Automated Processing System (TAAPS) in 1993. TreasuryDirect carried this move one step further, providing a virtual "open desk" through which large and small investors could electronically place bids for and obtain Treasury securities.
Why Does TreasuryDirect Matter?
Similar to stocks and corporate bonds, Treasury securities were traditionally available only by way of a broker-dealer. TreasuryDirect removes the proverbial "middle man" and allows investors to purchase Treasury securities without incurring brokerage commissions.
Personalized Financial Plans for an Uncertain Market
In today’s uncertain market, investors are looking for answers to help them grow and protect their savings. So we partnered with Vanguard Advisers -- one of the most trusted names in finance -- to offer you a financial plan built to withstand a variety of market and economic conditions. A Vanguard advisor will craft your customized plan and then manage your savings, giving you more confidence to help you meet your goals. Click here to get started.
Read This Next
Question: I've been hearing a lot of good things about "dividend aristocrats." What are they, and should I be...Read More →