Premium Bonds - Not a bean for months now!!!!
Discussion
Tiggsy said:
PB are a VERY cheap way of the government borrowing money from you....so if thats what you like doing (lending money to the gov at bargain rates) they are a good idea
Better alternatives for up to 30k where you can get at the money quickly without penalty are?Given a projected 1.5% tax free, PBs are better than offsetting the mortgage at present and broadly comparable to instant access savings accounts after tax (usually only for the first year, then the bonus runs out and the rate drops to bugger all).
I have always thought of PB's as a gamble rather than an investment.
If you get a return of around what you would have received in interest being the minimum 'prize' then so be it but nothing else gives you the chance of a big bonus payout.
If you need the money fairly quickly you can get it in a few days without any penalty.
If you get a return of around what you would have received in interest being the minimum 'prize' then so be it but nothing else gives you the chance of a big bonus payout.
If you need the money fairly quickly you can get it in a few days without any penalty.
onomatopoeia said:
Tiggsy said:
PB are a VERY cheap way of the government borrowing money from you....so if thats what you like doing (lending money to the gov at bargain rates) they are a good idea
Better alternatives for up to 30k where you can get at the money quickly without penalty are?Given a projected 1.5% tax free, PBs are better than offsetting the mortgage at present and broadly comparable to instant access savings accounts after tax (usually only for the first year, then the bonus runs out and the rate drops to bugger all).
Tiggsy said:
onomatopoeia said:
Tiggsy said:
PB are a VERY cheap way of the government borrowing money from you....so if thats what you like doing (lending money to the gov at bargain rates) they are a good idea
Better alternatives for up to 30k where you can get at the money quickly without penalty are?Given a projected 1.5% tax free, PBs are better than offsetting the mortgage at present and broadly comparable to instant access savings accounts after tax (usually only for the first year, then the bonus runs out and the rate drops to bugger all).
I haven't done any stats in over 20 years so that may be all wrong, of course.
Tiggsy said:
onomatopoeia said:
Tiggsy said:
PB are a VERY cheap way of the government borrowing money from you....so if thats what you like doing (lending money to the gov at bargain rates) they are a good idea
Better alternatives for up to 30k where you can get at the money quickly without penalty are?Given a projected 1.5% tax free, PBs are better than offsetting the mortgage at present and broadly comparable to instant access savings accounts after tax (usually only for the first year, then the bonus runs out and the rate drops to bugger all).
Higher value
6% of prize fund
£1 million 1 prize
£100,000 4 prizes..
£50,000 9
£25,000 17
£10,000 43
£5,000 86
Medium value
5% of prize fund
£1,000 1,046
£500 3,138
Lower value
89% of prize fund
£100 30,720
£50 30,720
£25 1,676,963
Total value for
August 2010 £52.3 million 1,742,747
Mr E Driver said:
Somewhatfoolish said:
Is this thread serious?
Premium Bonds are for morons.
Living up to your user name eh? Premium Bonds are for morons.
They make sense only when your investment objectives are essentially exactly the same as what a premium bond is, but they're bizzarely popular.
The reason is quite obvious, of course. People hate to take a notional loss, but a real loss is of no concern to them
Bit of a resurrection here. I sold my house in May and am living in what was my 2nd/bolthole property...not looking to upsize again until middle of next year so decided to plonk a lump of my savings into premium bonds.
Good idea? Looking at this thread, views are split on that. At the interest rate I get with the bank, and tax I have to pay on it, PB's could be a lot more fun at least.
I've gone for the full compliment of £30k, so will keep this updated with how I get on over the next few months!
OP, or anyone else, had any big wins?
Good idea? Looking at this thread, views are split on that. At the interest rate I get with the bank, and tax I have to pay on it, PB's could be a lot more fun at least.
I've gone for the full compliment of £30k, so will keep this updated with how I get on over the next few months!
OP, or anyone else, had any big wins?
Burnham said:
Bit of a resurrection here. I sold my house in May and am living in what was my 2nd/bolthole property...not looking to upsize again until middle of next year so decided to plonk a lump of my savings into premium bonds.
Good idea? Looking at this thread, views are split on that. At the interest rate I get with the bank, and tax I have to pay on it, PB's could be a lot more fun at least.
I've gone for the full compliment of £30k, so will keep this updated with how I get on over the next few months!
OP, or anyone else, had any big wins?
Same situation for me too - need to park some cash for 6 months, looked around and all the accounts pay sod all. So decided on PB's too.Good idea? Looking at this thread, views are split on that. At the interest rate I get with the bank, and tax I have to pay on it, PB's could be a lot more fun at least.
I've gone for the full compliment of £30k, so will keep this updated with how I get on over the next few months!
OP, or anyone else, had any big wins?
eliot said:
Burnham said:
Bit of a resurrection here. I sold my house in May and am living in what was my 2nd/bolthole property...not looking to upsize again until middle of next year so decided to plonk a lump of my savings into premium bonds.
Good idea? Looking at this thread, views are split on that. At the interest rate I get with the bank, and tax I have to pay on it, PB's could be a lot more fun at least.
I've gone for the full compliment of £30k, so will keep this updated with how I get on over the next few months!
OP, or anyone else, had any big wins?
Same situation for me too - need to park some cash for 6 months, looked around and all the accounts pay sod all. So decided on PB's too.Good idea? Looking at this thread, views are split on that. At the interest rate I get with the bank, and tax I have to pay on it, PB's could be a lot more fun at least.
I've gone for the full compliment of £30k, so will keep this updated with how I get on over the next few months!
OP, or anyone else, had any big wins?
Monthly prizes:
Higher value (6% of prize fund)
£1 million 1 prize
£100,000 4 prizes
£50,000 10
£25,000 17
£10,000 43
£5,000 87
Medium value (5% of prize fund)
£1,000 1,064
£500 3,192
Lower value (89% of prize fund)
£100 31,259
£50 31,259
£25 1,706,155
Total value for June 2011
£53.2 million 1,773,091
If you've £10000 you should win on average £25 six times a year.
Larger (£5k or £10k wins) should come once in 230 years - the American Revolution was ~ 230 years ago.
You should win the big one once in 29000 years - agriculture was discovered about 10000 years ago.
Of course you could win in the next draw - someone does, but it probably won't be you!
Higher value (6% of prize fund)
£1 million 1 prize
£100,000 4 prizes
£50,000 10
£25,000 17
£10,000 43
£5,000 87
Medium value (5% of prize fund)
£1,000 1,064
£500 3,192
Lower value (89% of prize fund)
£100 31,259
£50 31,259
£25 1,706,155
Total value for June 2011
£53.2 million 1,773,091
If you've £10000 you should win on average £25 six times a year.
Larger (£5k or £10k wins) should come once in 230 years - the American Revolution was ~ 230 years ago.
You should win the big one once in 29000 years - agriculture was discovered about 10000 years ago.
Of course you could win in the next draw - someone does, but it probably won't be you!
RemainAllHoof said:
Never won anything more than the minimum in the 10 years I've had between £5k and £15k. It's not a view - it's reality. The current interest rate has "caught up" with the rate of return I was getting with Premium Bonds!
So no better off really than moving it all into a decent savings account right?...but you still have the PB's so that says something! I guess its like me with the National Lottery...its just nice to know you have the chance of winning.condor said:
I had about £15K in PBs and seemed to win every month - bought another £10Ks worth in March this year, and apart from a £25 win in May have won nothing since.
Rather surprised, but expect mine have been cursed.
That's not the first time I've heard this...for what's a 'random' process of selecting winners, there's an awful lot of people who seem to win in the first few months of getting them, then it trails off.Rather surprised, but expect mine have been cursed.
Eliot & Mark387mw - You both sound like your in the same boat as me then. I'm only looking at this as a short term thing (though I may gift £30k to my other half and get her involved also, so we double our chances). If the right property comes up next year I'll be cashing them all back in and its going, along with the proceeds of my apartment, into a deposit for a family home. Do let us know if you have any luck each month anyway!
nomisesor said:
Lots of sensible figures, and a small history lesson
That does put it into perspective! I guess the chance of winning is something at least. OK, I could get a guaranteed return in a savings account, but after I've paid tax on whatever small amount it would be anyway, I'd rather just have the opportunity to win big (not sure I can afford to wait 230 years though). I think the tax free side of its the nice bit.Burnham said:
RemainAllHoof said:
Never won anything more than the minimum in the 10 years I've had between £5k and £15k. It's not a view - it's reality. The current interest rate has "caught up" with the rate of return I was getting with Premium Bonds!
So no better off really than moving it all into a decent savings account right?...but you still have the PB's so that says something! I guess its like me with the National Lottery...its just nice to know you have the chance of winning.RemainAllHoof said:
Burnham said:
RemainAllHoof said:
Never won anything more than the minimum in the 10 years I've had between £5k and £15k. It's not a view - it's reality. The current interest rate has "caught up" with the rate of return I was getting with Premium Bonds!
So no better off really than moving it all into a decent savings account right?...but you still have the PB's so that says something! I guess its like me with the National Lottery...its just nice to know you have the chance of winning.Gassing Station | Finance | Top of Page | What's New | My Stuff