Premium Bonds

[Box of Frogs]

Anybody got some?

I'm thinking of getting some as it seems like a no lose situation - your money is safe (although not earning interest) and there is the chance of a prize each month.

For the amount I am considering spending, putting it into a savings account would earn me very little in interest anyway so I don't see that I am losing much even if I don't win anything for a whole year. Probably equivalent to buying a lottery ticket every week. Plus there is the excitement of being in the draw every month - who know what the prize could be (even though it will probably be £0!)

Any thoughts?

 

[clippedgull]

Worth a punt

Although as you are aware the value of your investment depreciates over time, unless you get a decent prize.

By that I mean £10 today will buy you more than £10 next year.

Always thought about doing this myself, but never got around to it!

 

[Beach Hut]

We have a fair few in the Hut household and the usual monthly cheque (sometimes £100 but normally £50) is useful.

Be nice to win the big one but we had some money we wanted to keep in case we owe more after mortgage ends so it seemed the best way.

 

[Box of Frogs]

We have a fair few in the Hut household and the usual monthly cheque (sometimes £100 but normally £50) is useful.

Be nice to win the big one but we had some money we wanted to keep in case we owe more after mortgage ends so it seemed the best way.

Without wishing to pry, how many (roughly) do you consider to be 'a fair few'?

 

[Djmiles]

Had £100 in there for 20 years.....won a massive sum of £0 so far

 

[Superphil]

I bought £600 last week, not won a thing yet, getting very impatient LOL.

Seriously though, I'm looking forward to making a few wins, how many do you have Beachy? What is the ratio of bonds to wins?

 

[Billy the Fish]

I put all my savings in there about a year ago. I did have a web saver which was 4.5% net interest guaranteed, but decided to go with the bonds on the off chance I get a big prize. Although the is no guarantee of anything the average net interest is about 3%. I was only just under the 4% mark so haven't lost out on much in real money terms and there's always the chance of a big one. I say go for it.

 

[SNOOBS]

My friend one £50,000 from them not long ago

 

[who me?]

been posted before but this link explains your PROBABLE winnings depending on bonds held and there are about 40 billion of them

http://www.moneysavingexpert.com/savings/premium-bonds-calculator/


and YES i know you dont loose your stake

 

[Hercules Rockerfeller]

This is not a joke, this is a seriously good savings offer. But this might be more lucrative than premium bonds

http://www.northernrock.co.uk/savings/fixed-rate-access-bonds/

I am sticking a large sum of my own in.

 

[dougdeep]

Gold mining shares are the way to go. Fact!

 

[Hercules Rockerfeller]

Gold mining shares are the way to go. Fact!

Alchemey is where it's at. No need for those expensive mines!

 

[Gazwag]

you are unlikely to win if you have less than a grands worth as the minimum win is £50 and the average return is about 5%, having said that you could win the million with your first £100.

I run a syndicate at work and have accumulated almost £2k so far and have had two £50 wins, since we started two years ago

 

[DC Rules]

My son has £1000, won £50 in his first month in June, nothing more since.

I have "a fair few" too...less than the £30k maximum, but close. Since I bought them in May have won £650 in total, so I think thats about the same as savings...but no tax, and of course the chance to win more. And its easy to get your money back if you need it, put automatically into your bank account within about 2 days of claiming it.

 

[DC Rules]

you are unlikely to win if you have less than a grands worth as the minimum win is £50 and the average return is about 5%, having said that you could win the million with your first £100.

I run a syndicate at work and have accumulated almost £2k so far and have had two £50 wins, since we started two years ago

Legally you can't have a premium bond syndicate, it has to be in sole name, so all your winnings are classed as "gifts", if you were to share them out and then you'd be liable for tax.

 

[Cian]

This is not a joke, this is a seriously good savings offer. But this might be more lucrative than premium bonds

http://www.northernrock.co.uk/savings/fixed-rate-access-bonds/

I am sticking a large sum of my own in.

I'm still using Northern Rock too, but for a general savings account. Can't remember what the % is off hand, but its higher than Halifax and Ulster were offering...

 

[Gazwag]

Legally you can't have a premium bond syndicate, it has to be in sole name, so all your winnings are classed as "gifts", if you were to share them out and then you'd be liable for tax.

If you die within 7 years, or have a trust agreement

 

[Marshy]

Get sum...you might get lucky

 

[Papa Lazarou]

As this article from the excellent Martin Lewis site shows, if you are a higher rate tax payer Premium Bonds are likely to be a poor choice...

http://www.moneysavingexpert.com/savings/premium-bonds

 

[Marshy]

If you look thouhg its generally the person with £30k worth that wins the top prize...