War Bonds 3.5

JOM01

RE: War Bonds 3.5

My grandads war bonds have been passed down to my mother and she also would like to pass them down.

Q1. How do you go about doing a transfer?

At the moment they pay about £900 twice a year I think and were initially for £50k ish.

Q2. What would the value be of them if she wanted to sell them?

xylophone

http://www.dmo.gov.uk/index.aspx?page=Gilts/Buysell

http://www.dmo.gov.uk/reportView.aspx?rptCode=D3B.2&rptName=cd602351-0c75-498e-8479-54c7f1e85244%7C%7CD3B.2%20-%20GILT%20MARKET.rpt&reportpage=Gilts/Daily_Prices

http://www.dmo.gov.uk/index.aspx?page=Gilts/Gilt_Faq

JOM01

Nominal x (dirty price/100) = current market value
Site links not working properly to run price reports, however the FAQ is where I found the above formula but nothing showing dirty price (whats a dirty price?) and Nominal (what would the nominal be? is it the original £50k?)

JOM01

Somethng worked... it showed dated gilts... i think the war bond is undated, does that make any diff?

07-Sep-2019

117.210000
118.152680
1.097096
0.942680
6.01

So... £50,000 x £1.19 / 100 = £595
Is that correct?

xylophone

3.5% War Stock is undated- no redemption date.
Nominal value is face value - you mention c £50,000 look at the certificates.
Current price is around £900 per £1000 and see http://www.dmo.gov.uk/index.aspx?page=Links/Glossary

See also http://www.dmo.gov.uk/documentview.aspx?docname=publications/investorsguides/pig201204.pdf&page=investor_guide/Guide for booklet for private investors

From FAQ as above.
How can I transfer my holding into a relative’s name?
In all of the above cases please contact Computershare, the gilt registrar, responsible for individual holdings on 0870 703 0143 or see FAQ on the Computershare website.

Masomnia

The nominal value is £100 per bond, as with all gilts. Current price of the War Loan is £91 per bond, so however many you have multiplied by that is what they're worth, though you may get a bit less when selling.

xylophone

http://shareinfo.lloydstsbsharedealing.com/services/faqs/gilts.phtml
http://uk.finance.yahoo.com/q?s=WAR.L
might also be of interest

xylophone

Another thought - you mention your mother wants to make someone a gift of the shares - this may eventually have IHT implications so keep a note of any such transfer.
http://www.hmrc.gov.uk/inheritancetax/pass-money-property/exempt-gifts.htm

JOM01

OK thanks for the advice xylophone and Masomnia

I did have a look at my granddads bonds and it wasn't clear how many there was, there was just a total amount and an amount my mother I think she said twice a year and ref numbers etc. I'll need to look again.

In effect it sounds like 50 x 900 = £45k
So...
£45,000 if sold
vs
£900 twice a year
...are her options.