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I want to invest my money in treasury bills?


I want to invest my money in treasury bills?

You can do this by visiting a local bank/financial institution or if you want to get it done quick (and you know what you're doing), you can get it done on an online investment website such as Etrade or scottrade.

Hope this helps.

just ask your banker.

Treasury bills are US government issued securities that sell in denominations of $10,000. They trade at a discount, that is you may pay $9,875 for a 90 day treasury bill, and at the end of 90 days you would receive $10,000. The difference between the maturity value and your cost is the interest income you earn. In this example you would earn 5.06 percent annual interest.

You can buy treasury bills through your stock broker. If you don't have a broker, have your bank buy them for you.

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Open a Treasury Direct account. You can find the forms at-

http://www.treasurydirect.gov/indiv/myac...

With the Tresury Direct account you can purchase T-Bills, T-Notes, T-Bond, TIPS, Series I Savings Bonds, etc. all without a transaction fee. The service is linked to your bank account. If your holding exceed $100,000, you will be charged a $25 service fee once a year.

Although one responder incorrectly said you purchase Treasuries in $10,000 units, you actually purchase in $1,000 face value units. T-Bills are sold at a discount. A 13 week T-Bill that sells at a 4.80% discount rate (based on 360 day years), would sell for a price discounted by (91/360)x4.80% or 1.21333..% A $1000 T-bill wqould sell for $987.87; after 13 weeks you would receive $1000. A gain of $12.13 on an invested amount of $987.87 a gain of 1.227894% for 13 weeks or an annualized gain of 4x1.227894 = 4.91%.

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