Fake Savings Bond Scheme Leads to $50M in Losses and Issues for Legitimate Savers

Counterfeit U.S. Savings Bonds worth $1 million were found in South Texas banks as part of a scheme to cash fake bonds. Nationwide losses exceed $50 million. Legitimate savers face difficulties cashing real bonds at banks due to these counterfeit bonds. Chase and other banks have imposed restrictions, limiting redemption to $500 at branches. Savers now need to mail bonds via TreasuryDirect.gov. The rise of counterfeit bonds poses obstacles for genuine savers with accumulated paper bonds.