Israelbondsdirect (2024)

FAQs

Are Israel bonds legitimate? ›

Israel Bonds, the commonly known name of Development Corporation for Israel (DCI), is the U.S. underwriter of debt securities issued by the State of Israel. DCI is headquartered in New York City and is a broker-dealer and member of the Financial Industry Regulatory Authority (FINRA).

For all other questions, please review your account by logging in, or by calling the Fiscal Agent, Computershare at 1-866-764-3425 Monday through Friday 9 AM to 7 PM Eastern Time. 2024 Israel Bonds Direct. All rights reserved.

Israel bonds are not tradeable and must be held to maturity. By buying an Israel Bond, you are making a direct investment in the State of Israel. Your investment benefits the State of Israel.

Sabra, Mazel Tov bonds pay interest and principal upon maturity. Jubilee and Maccabee bonds pay semi-annual interest May 1st and November 1st. Israel Bonds do not accrue interest after maturity. The person who will be the recipient is the registered holder, and the recipient's name and address are required.

Purchasing Israel Bonds through your JRB retirement account means that you do not pay taxes on income from the investment until you withdraw the funds in retirement when you are likely to be in a lower tax bracket.

Regular bond certificates can be redeemed through most main city branches of commercial banks. State of Israel certificates with a par value of $100 may be redeemed through three banking corporations without a fee - Discount Bank, First International Bank, and Union Bank; and in other banking corporations with a fee.

Minimum Subscription: $25,000 and increments of $5,000. Issued on the 1st and 15th of each month. Interest paid every May 1st and November 1st. 1-Year Jubilee Bonds are not offered in this sales period.

A Participant may withdraw from CIP online at www.computershare.com/investor, via telephone or by mailing a request to Computershare. A Participant may also withdraw from CIP by selling or transferring all shares in the Participant's CIP account.

The bonds are subject to optional redemption or repurchase by the State of Israel. The State of Israel may redeem or repurchase the bonds in whole or in part, at any time or from time to time, prior to their scheduled maturity dates.

Can individuals buy Israeli bonds? ›

Anyone in the world can buy bonds from any country in the world. You do not need to be a citizen or resident of Israel to buy and Israeli government bond.

Additionally, Bonds may only be sold, transferred or assigned in limited circ*mstances. As a result, no secondary market can develop for the Bonds meaning that investors may not be able to sell or transfer their Bonds and will instead need to hold such Bonds to maturity.

Reporting the Interest for Taxes

Owners can wait to pay the taxes when they cash in the bond, when the bond matures, or when they relinquish the bond to another owner. Alternatively, they may pay the taxes yearly as interest accrues. 1 Most owners choose to defer the taxes until they redeem the bond.

Redeem your Israel bonds

"Book entry" Israel bonds do not require a redemption process. If you hold a book entry Israel bond, you will receive an automatic payment by cheque in mail or by direct deposit ($CAD Israel bonds only) upon the maturity of the bond.

The bond includes a commitment from the Israeli government to pay the loan back, plus an agreed rate of interest while using your money – known as the bond coupon or yield. Your loan amount (bond price) is returned to you when the bond matures after a fixed period of time: anywhere from a few weeks to 50 years.

The estimate average salary for Israel Bonds employees is around $50 per hour. The highest earners in the top 75th percentile are paid over $57.