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Originally Posted by biosurfer1
I thought I bonds cannot be cashed out for at least 1 year and if you cash out before 5 years, you lose 3 months of interest? Doesn't seem very liquid even if it's a decent return right now.
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You could get a line of credit secured by the I Bond if you’re worried about liquidity. But even if you lose 3 months’ interest, you’re way ahead at a 7% return. You can only put $10,000 in this year and another $10,000 next year, so you have $80,000 to put into a money market at 100% liquidity and 0% return.