A Savings Bonds is a bond backed by the U.S. government. Savings bonds (which come in different series, like EE and HH) can be purchased in small amounts, either directly from a bank, the Treasury Department, or through a broker. They’re non-transferable, and are not traded as are other government offerings. In September 1998, the Government began selling an inflation-indexed savings bonds. The I-bond guarantees that your return will out-pace inflation, and is actually based on the rate of inflation plus a fixed rate of return, perhaps 3 to 3.5 percent.