OT: Using the I-Bond Gift Box - Question about Delivering out of the Gift Box

Investment Analysis Clubs Macro Economic Trends and Risks
1

Thanks to Wendy & others here, TD’s Gift Box was pointed out last year as a way to prepay for 9.62% bonds that could then be later ‘gifted’ into someone else’s i-Bond account up to the annual dollar limit of $10,000.

I looked at it as a way to set aside money that would be ready to move into my wife’s I-Bond account.

Today I logged in to do that. So far so good. The $10,000 is there.

However it listed as “Principal: $10,000” and “Current Value: $10,356”.

What I want to do is deliver the Principal Amount with its accrued interest.
It looks to me that if I transfer the bond, it will put her $356 over her annual $10,000 limit.

My Delivery Instructions options are:

“Deliver full amount: $10,356”
or
“Deliver partial amount”

That’s it !

To not exceed her $10,000 limit, it appears to me I have to leave the $356 behind in the Gift Box.

What am I not understanding here ?

TD Direct is not accepting any more phone calls today, so I thought I would ask here if others have dealt with this ?

Thanks in advance,

NWVillager

2 Likes
2

I’m 99% sure that the interest is not counted toward the $10,000 limit, which applies only to the bond itself. I would transfer the entire amount.

Please let us know for sure when you find out from TD.
Wendy

4 Likes
3

Thank you Wendy.

You are correct.

The accrued interest does not count towards the $10,000 limit.

NWVillager

2 Likes