£1000 to invest

llh189

I had to pay a new deposit on a new flat and withdrew the money from my ISA, when I got the refund of my previous deposit I tried to transfer it back and then realised that I was over my ISA limit for this year. I foolishly thought I could just transfer the money back and forth, have now read the small print and I have indeed reached my limit.

I do have another internet savings account with about £500 in it which is easily accessible but the interest quite good but it is taxed. I am therefore looking for to invest the refund of £1000, has anyone had much luck with National Saving Bonds / premium bonds. My ex parents in law did get regular payouts but they had £1000's of pounds invested, I understand the principle about ernie etc but I wondered how any of you guys have got on.

Would welcome any success stories or an alternative investments advice.

Thanks

Lisa

Midas

Huge thread here

Paul_Herring

Erm - are you sure you mean invest? The tone of your post seems to indicate that you'd rather save it (no risk) - investment implies at least some risk (stocks and shares e.g.)

If it's just no-risk savings you're after, have a look at http://www.moneysavingexpert.com/cgi-bin/viewnews.cgi?newsid1103213261,45760,

Lea37

My fella won £100,000 in May and he only had £6000 invested for just over 2 years. It was his initial block of £1000 that won too so definitely worth doing in my opinion. Admittedly it was an amazing bit of luck against the odds but it shows it does happen. Also Premium Bonds work as a great deterrent from spending your savings. The fella had been seriously considering taking them out not long before he won but left them in 'just in case' thank God!!!
He had won 5 £50s also up until that point.

Robert_Sterling

llh189 wrote:

I understand the principle about ernie etc but I wondered how any of you guys have got on.
Lisa

How anyone else got on with their premium bonds is 100% irrelevant.

Miss_Penny_Pincher_2

Robert_Sterling wrote:

How anyone else got on with their premium bonds is 100% irrelevant.

It's always reassuring to hear of success stories like lea37's.

dunstonh

Lottery winners will always think its a good idea. However, you just have to look at the number of winners compared to those taking part.

Premium bonds are a gamble on a return and most will end up with a rate of return around 3%. Hardly a good investment.

bristol_pilot

Premium Bonds are not a serious investment or savings vehicle in my opinon - except maybe for a higher-rate taxpayer, but even then it's debatable.

But if you don't have any PBs at all then your chance of winning is exactly zero. You could buy the minimum number of Premium Bonds (I think this is £100), put the rest in a savings account then transfer it into next year's ISA in April 2007 now that you've learned your lesson about taking money out of your ISA. I'm assuming you're a taxpayer - if not, you could fill in the appropriate form to get your savings interest gross anyway. Only my opinion, not advice.