Looking to invest your tax refund this year? The Treasury Department wants to make it easy by allowing a new option for your “direct deposit” refund that purchases U.S. Series I Savings Bonds are a low-risk, interest bearing bonds that are purchased at face value, a $50 bond is purchased for $50, and they earn standard rate of interest that is adjusted for inflation.

“Direct Deposit” is an option you can select when completing your tax return that will electronically transfer your refund directly into your bank account, as opposed to receiving a mailed refund check. It is popular because it is the fastest way to receive a refund; often in as few as 10 days.

Starting this year, you can request a portion of your refund be used to buy up to $5,000 in Series I Bonds through direct deposit. The bonds will be issued in the taxpayer’s name. If the refund is a joint refund, the bonds are issued in the names of both taxpayers.

Because I Bonds must be purchased in multiples of $50, you will probably need to designate an account to deposit any excess refunds. For example, if your refund is $540, and you would like to invest as mush as possible, you would request $500 be used to purchase bonds and the remaining $40, be deposited into a checking, savings, or even into a previously established traditional, IRA, Roth IRA or SEP-IRA.

In the event your refund is an exact multiple of $50 but less than $5,000, you may direct that all of the refund be applied to I Bond purchases. The purchased savings bonds will be mailed to you. Talk with your tax preparer if you’re interested in purchasing I Bonds this year and they will help you with the paperwork.