I think it depends on the following:

1. How much is your interest payment

and

2. How big is the penalty for cashing out early.

See what will be more beneficial to you and your investment strategy.

One other thing to consider:

What will you do with the cash once you get it?

Since you held on to the bonds since '78 you may want to hold on to them until next year. It aslo depends on when next year? If it's in the early part I would definately hold on to them.

If it's the towards the end of the year and the interest payment is small to begin with along with a small penalty for cashing-out early I would sell it.

It also depends on how much in those bonds you hold and what you plan to to with the cash afterwards.

I actually didn't find out I had them until my daughter was born a month ago and my wife got out her old baby book. I guess since we have held onto them unknowingly for 29 years then we should let them mature. They mature in April and there would be any penalty for cashing them in now, but I might as well get that final interest payment I guess.

Thanks for the advice!

No problem.

I think you're best off to hold on to it until maturity. It will aslo give you some time to think about what you want to do with the money afterwards.

I just cashed in all our series E bonds last month. You will be VERY happy when you do!!