Personal Finance and Investing

I guess it is just the way it is worded that made me think you thought you were getting a 25% rate of interest.

You did actually say;

Which is not really true. You get somewhat more than 7.12% on your $10K per year though, because the information states the current rate of 7.12% is added to the principal twice a year, on the 6 month and 12 month anniversary of issue. Half of $712 is $356, so from the 6 month point to the end of the year you would be making an annualized rate of 7.12 on $10,356, so your yield is a bit higher than that stated rate.

That is if I am understanding what I read on the Treasury Direct page properly.

Either way, certainly a good rate, considering the 30 year is presently yielding 2.39% on a coupon of 2.25%.