Senator Patty Murray (D-WA) and Senator Susan Collins (R-ME) today reintroduced the Save Access to a Valuable Investment Needed to Generate Savings (SAVINGS) Act of 2017, legislation that would preserve the Tax Time Savings Bond program. Since 2010, the Tax Time Savings Bond program has provided taxpayers the option to receive IRS returns in the form of a paper U.S. Savings Bond. This is a critical savings opportunity, particularly for low-income workers without a checking account, a savings account, or other type of banking product.
“U.S. Savings Bonds are an important, low-risk investment option for many individuals,” Senator Collins said. “At a time when many are not saving enough, if at all, preserving Americans’ ability to receive paper bonds through their tax returns will help individuals, particularly those without bank accounts or Internet access, to set aside necessary funds for future expenses.”
The SAVINGS Act of 2017 would require the U.S. Treasury Department to continue to provide an option on the IRS tax form for consumers to use some or all of their tax return to purchase a U.S. Savings Bond in paper form, for either themselves or a designated recipient. This option will remain in place until the U.S. Treasury establishes a suitable alternative that serves the unbanked and individuals who lack internet access. The Senate bill introduced by Senators Murray and Collins accompanies the House version, which was introduced by Representative Matt Cartwright.
Commonwealth has worked to modernize Savings Bonds for the 21st century by advocating for improving access through new channels, as well as promoting them as a tool for giftable savings.
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