§ 29101 Public Bond Investment Rules

• •The government can buy bonds or notes directly when they are first sold.
• •The government can also buy bonds or notes later, after they have been sold to others.
• •This rule was added in 1957.

Imagine the government wants to buy a savings bond.

They can buy it when it first comes out, like getting a new toy on the first day. Or they can buy it later from someone else, like buying a used toy from a friend.