Personal Finance and Investing

Once you've set up an account and you've logged in, you go to the "I'd like to buy something" page. You tell them how much you want to buy; $1,000, $5,000, $10,000, whatever; and for what duration. You designate a source of your funds, which could be from existing money at Treasury Direct or a bank or credit union. They ask, "is this right?" and you say "yes." That's it.

T-bills will sell for less than the face amount. When they mature, that's when you get back your $1,000, $5,000, $10,000, or whatever. The difference between what you paid and what you get back, divided by the time you've had your money tied up, is how you figure the interest rate.

You aren't entering a competitive bid. Bigger players than you will set that. You just go along for the ride.

Oh, what the "high rate" indicates vs. the Investment rate. I'm drawing a blank right now. Someone here will know that one.

Well, let's see what Google says.

https://www.google.com/search?q=high+rate+indicates+vs.+the+investment+rate+of+treasury+bills

That brings up this: