What is the meaning of Treasury Bill?

Treasury Bills (or T-bills) are marketable securities the U. S. Government sells in order to pay off maturing debt and raise the cash needed to run the federal government. They are short-term obligations issued with a term of one year or less. The U. S. Treasury Department sells Treasury bills at auctions held throughout the year. For federal student loans, the variable interest rate is based on the bond equivalent rate of the 91-day T-bills auctioned at the final auction prior to June 1 each year.