A savings bond is a treasury security for shareholders. Essentially, investors are lending the us government money. They are issued both as newspaper bonds and electronic cost savings bonds. They can not be exchanged but can be redeemed after just one year. Generally there are no dividends, every se, with a cost savings bond, as the interest payments are simply added on to the value of the bond, but since tax-deferred items, the interest does not have to be reported to the authorities until the bonds are cashed. http://www.savingsbonds.com/bond_basics/ebond1.cfm

The value of a savings bond may differ with the sort of bond purchased – series A, M, C, D, E, EE, F, G, H, YOU DO NOT NEED :, I, J and T. It also will depend on when it is cashed and what style of interest it has been assigned. Seeing that 1935, the treasury has issued savings bonds in alphabetical progression. For example, series A bonds were offered the first season, Series B bonds adopted in 1936, Series C ran from 1937-1938, and Series D were granted from 1939-1941. Series Electronic bonds, longest running of the treasury savings binds, ran from May 1941 until they were stopped in 1980. 

Series EE bonds were brought away in 1980 to exchange the series E. They may be purchased at half or full face value. They are available in portions between $50-$10, 000, and carry a maturity day of between eight to thirty years. Those sold before the fifth yr are penalized three months’ worth of interest.
In the event EE bonds are purchased through a bank or other financial institution, it is also termed as a Patriot Bond. There were more sorts of savings an actual, including the series Farreneheit and G (which were agreed to all investors other than banks), series H, YOU DO NOT NEED :, Series I, J and K.

How do we calculate the value?

The importance of a savings bond can be calculated by taking note of the face value of the relationship, the interest rate from the time the attachment was issued until the present time, and whether there are any fines that contain to be subtracted. Additionally, it is important to note that a bond that is given at half the face value will be worthy of the face value at maturity, while an attachment that is issued at face value will probably be worth two times this amount during the time of maturity. Savings Bonds may also greatly increase in value if they are redeemed past their maturity particular date, in which case the interest must be determined on a year-to-year most basic.