with profit bond

jupitersmile

I have a bond that's due to "mature" next august

The way things are I'm thinking of knocking it on the head and taking a loss - however....

has anyone actually received any of these "bonuses" that companies keep on about? if I let it mature, will be likely to get any kind of "final bonus" from the compnay?

Ifts

What company is your with profits bond with and when did you take it out?

IMO - If you have had it for a number of years now, it cant do any harm in holding it for another 9 months to see if it does receive a final bonus.

I got one that matures Oct 2012. My one is with Scottish Widows, on the paperwork it states its a Versatile Endowment plan (with-profits policy). I took it out nearly 20 years ago. I pay £50 each month into it, at the 10 year date I did have the option to cash it in early but I left it to run its course.
Next year at the maturity date, I would have paid £12000 into it (12x50 pa x 20 yrs). When I took it out, it had a Guaranteed Cash Benefit of £10,220.00 + any annual bonuses + any final bonus if I held it for the full 20 years. It did also provide death benefit during the term of £9000.
I don't know exactly what mine will return at the maturity date next year (21/10/2012), but my 2010 Bonus Notice states: Total Guaranteed Benefit = £13,521.12 (inc £10.220.00 Guaranteed Cash Benefit, £3,217.84 Existing Bonus, £83.28 2010 Bonus), so if I'm right I think they will apply another bonus for 2011 plus one for 2012 (whatever that may be), and possibly a final bonus at the maturity date.

As an added bonus due to the Scottish Widows Demutualisation, back in 2000 when the insurer Scottish Widows was sold to Lloyds Bank, I was eligible for a windfall payment which I received some 10 years ago now which was paid out into a SW VIP Premier Account for me, IIRC it was a few thousand pounds.

dunstonh

he way things are I'm thinking of knocking it on the head and taking a loss - however....

Why take a loss now when there wont be one next year?

has anyone actually received any of these "bonuses" that companies keep on about?

yes

if I let it mature, will be likely to get any kind of "final bonus" from the compnay?

You havent told us who its with or anything about it. So, we cant guess.

halifax50

I had one (Norwich Union) come out 3 years ago paid in £5 a month for 34 years.
The total paid in was £2,040 and I received around £18,000.
My 2nd (Prudential) was for £10 a month for 25 years and I received around £16,500.

The bonuses paid in the last few years of both of them were not as good as the preceding years but it was still worth hanging onto them in my opinion.

webmasterpolo

This might be of use:

http://www.telegraph.co.uk/finance/personalfinance/investing/8561606/With-profits-bonds-should-I-stay-or-should-I-go.html

-Web