Treasury Bills: How To Buy
You can buy Treasury bills directly from the U.S. Treasury or through a bank, broker, or dealer.
Buying Directly From the U.S. Treasury
To buy Treasury bills directly from us, you must have an account in either TreasuryDirect or Legacy Treasury Direct. (NOTE: Legacy Treasury Direct is being phased out and only 13- and 26-week bills are available in this system.)
Set Up a Treasury Securities Account
To open an account in TreasuryDirect, go to "Open An Account" and supply the requested information. Effective April 2009, TreasuryDirect permits accounts for both individuals and various types of entities including trusts, estates, corporations, partnerships, etc. See Learn More about Entity Accounts for full information on the new registration types.
New accounts cannot be opened in *Legacy Treasury Direct.
Decide How to Bid
You can enter either a noncompetitive bid or a competitive bid.
With a noncompetitive bid, you agree to accept whatever discount rate is determined at auction. If you bid this way, you are guaranteed to receive the security you want, in the amount you want.
With a competitive bid, you specify the discount rate you will accept. If you bid this way, you may or may not receive the security you want, and, if you receive it, you may receive it in less than the amount you want. You cannot place a competitive bid directly with us. To bid competitively, you must use a bank, broker, or dealer.
Submit a Bid
How you submit a bid to us depends on whether you use TreasuryDirect or *Legacy Treasury Direct.
TreasuryDirect
The bid submission process is completely online. Login to your account and from the "My Accounts" page, click on the Buy Direct® tab, select Bills, click on the security you wish to purchase, the amount of your purchase, and, if you wish to reinvest this security, the number of reinvestments. Follow the prompts to complete your transaction.
Within TreasuryDirect, you also can set up reinvestments into securities of the same type and term. For instance, you can use the proceeds from a maturing 52-week bill to buy another 52-week bill.
Also, from the "My Accounts" page, you can quickly purchase a security using Purchase Express. With this functionality, you select the type of security and the purchase amount. The system uses the original registration you entered when you set up your account and your primary bank account, and then schedules your purchase for the next available auction date.
*Legacy Treasury Direct
You can bid by any of three methods:
-
Web
Hours: 8 a.m. to midnight Eastern Time, Monday through Friday, excluding federal holidays. -
Phone
Call 800-722-2678 and choose Option #1 at the main menu.
Hours: 8 a.m. to midnight Eastern Time, Monday through Friday, excluding federal holidays. -
Mail
Complete "“Treasury Marketable Securities Tender" (PD F 5381) and mail it to your Treasury Retail Securities Site.
(Download or order the form.)
Payments and Receipts
TreasuryDirect
When you buy a bill, we withdraw the purchase price from the source of funds you specify, which could be one of your bank accounts or your Certificate of Indebtedness (C of I). When the bill matures, we deposit the proceeds into your bank account or your C of I, whichever you specify.
*Legacy Treasury Direct
You pay for a bill by any of these methods:
- Automatic withdrawal (if you make your purchase by web or phone, you must pay by automatic withdrawal)
- Certified personal check
- Cashier's check
- Check issued to you by a Federal Reserve Bank
When the bill matures, we deposit its face value into the bank account you designated when you opened your account in *Legacy Treasury Direct.
Buying Through a Bank, Broker, or Dealer
To place a competitive bid, you must use a bank, broker, or dealer. You also can bid noncompetitively using a bank, broker, or dealer. For more information, consult a bank, broker, or dealer.
*Legacy Treasury Direct is being phased out.
