Illinois Financial Planning Newsroom

Redeem Bonus Cash For Illinois College Savings Bonds

Those who purchased an Illinois College Savings Bond in between 1998 and 2002 may be entitled to a bonus. However, they must act quickly since bonus money is limited. Back in 1998 to 2002, Illinois sold more than $2 Billion in College Savings Bonds. The bonds which were worth 5 thousand dollars were sold t a discount. The interest was accrued tax-free and matured on the first of August each year and became the full $5,000 face value.

The bonds came with a promised bonus payment worth 20 dollars annually for every year the bond was held. However, the bonus would only be paid if it was to be used for college tuition purposes at eligible Illinois universities and colleges.

At the inception of the Bonus Incentive Grant program, those who applied for the bonus while having certification from a state college were given a check for the bonus amount. Unfortunately, in 2004 insufficient funds were appropriated for the program by the General Assembly. As a result, the program shifted to a "first come, first serve" basis. If an applicant did not receive payment in the year the bond was matured, they had a one time opportunity to apply for the program the following year.

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