T Bills

Nonmarketable Government Securities

Have no secondary market and, therefore, are only redeemable through the federal government. They are purchased from the Treasury Department and can be redeemed with the Treasury Department only by the purchaser or beneficiary

Marketable Government Securities

Trade in the secondary market (OTC) Marketable Treasury debt securities available to individual investors include bills, notes, bonds and TIPs. Purchases can be made via the federal government at www. treasurydirect.gov, a bank, or a broker-dealer.

T Bills

Treasury Bills are short-term obligations, unlike most other debt securities, are issued at a discount from par. Rather than making regular cash interest payments, the return on a T-Bill is the difference between the price the investor pays and the par value received when the bill matures. Treasury Bills are expressed in weeks, or one year in the 52 week bill (4, 13, 26, 0r 52 weeks).