Cartwright Introduces Legislation to Save Paper Savings Bonds
Washington – Today, U.S. Rep. Matt Cartwright introduced the bipartisan Save Access to a Valuable Investment Needed to Generate Savings (SAVINGS) Act with the support of 25 colleagues. The SAVINGS Act would prohibit Treasury from discontinuing the Tax-Time Savings Bond Program for five years unless the Department implements a universally accessible non-electronic alternative.
At present, the only means of purchasing paper bonds is through the U.S. Treasury’s Tax-Time Savings Bond Program which allows individuals to use a portion of their federal tax refund to purchase savings bonds. Treasury has committed to maintaining the Tax-Time Savings Bond Program through the 2014 tax season only.
“Savings bonds represent a powerful and patriotic savings vehicle for millions of American families,” said Cartwright. “Treasury’s decision would severely restrict access to savings bonds for many low-income families. Every family deserves access to an affordable savings vehicle and an opportunity to attain financial security.”
The termination of the Tax-Time Savings Bond Program would restrict the purchase of savings bonds to online purchase only, which would cut off savings bond access to the approximately 20 percent of Americans who lack internet access, and the more than 10 million Americans who do not have a bank account.
"We're delighted that Congress, through Congressman Cartwright's leadership, shares the Administration’s goal to help millions of Americans save money at tax time,” said Tim Flacke, Executive Director of the D2D Fund.
Supporting Organizations: Advent Financial Services, American Forest & Paper Association, Aspen Institute Initiative on Financial Security, Baltimore CASH Campaign, Center for Public Policy Priorities, Consumers for Paper Options, Corporation for Enterprise Development, Doorways to Dreams Fund, Maryland CASH Campaign, Michigan Economic Impact Coalition, National Community Tax Coalition, National League of Cities, Nehemiah Gateway Community Development Corporation, Rural Dynamics Inc., United Way Worldwide, Women’s Institute for a Secure Retirement