Pensioner Bonds Guide

macman

The NS&I server has already crashed (8am), presumably due to overwhelming demand, and if you try the telephone application number, you just get engaged.
Pretty pathetic, given the lead time they've had to put systems in place for what was inevitably going to be a hugely popular issue.

mickess

Agree with Macman. Site crashed before 07:30. Managed to get on and apply for 3 year bond. (there wasn't an option to apply for both). At end of process there was an error. Checked my bank account and money has been allocated from my available balance so I now have £10000.00 somewhere in the electronic ether. Tried all the phones including the International one, all engaged!!

Sinbad

Started buying one at 9am and timed out after 10 mins. Hitting the continue button every 10 mins (alarm set on phone to remind me!) hoping I can stay in the system...

hacksawcats

Sorry if I'm being thick! Does anyone know if you can transfer an ISA to Pensioner Bonds?? Thanks in advance.

Archi_Bald

You would need to withdraw the money from your ISA into your current account. Then you can use the money as you please.

macman

But bear in mind that if you do that, you lose the tax free status of your ISA funds forever. You can't ever put that money back in. By the time you release the ISA funds (probably about 14 days), the bonds may well be fully subscribed-so you may have missed the boat.

Mrs_Constant_Worry

Perhaps this has already been asked - but just in case it hasn't. I am considering 'trying' to get a 3 year Bond. I understand I have to pay tax (although I will be eligible to claim back) before the maturity date.

1. So what if I die before the three years is up then I guess the tax will have been deducted and my OH cannot claim it back on my behalf. Does that make sense?

2. I am assuming I cannot claim the tax back until the end of the 3 year period?

Archi_Bald

macman wrote: »

But bear in mind that if you do that, you lose the tax free status of your ISA funds forever. You can't ever put that money back in. By the time you release the ISA funds (probably about 14 days), the bonds may well be fully subscribed-so you may have missed the boat.

Hang on, what's this about ISA funds "release" taking 14 days? If you have an instant access account, you get your money out straight away, in less than 14 seconds!

Also, whilst it is correct that your money will lose it's tax free wrapper when you withdraw it, there is presently no reason to believe that ISAs won't be around in 3 years time. So you can put your 1-year 65+ bond back into an ISA in a year's time, and the 3-year one in 3 years time.

Archi_Bald

Mrs_Constant_Worry wrote: »

So what if I die before the three years is up then I guess the tax will have been deducted and my OH cannot claim it back on my behalf. Does that make sense?

From the CAB website:

Refunds following a death

An overpayment of income tax may arise following a death. For more information about claiming back income tax on behalf of someone who has died, go to the GOV.UK website at: https://www.gov.uk. If a refund of tax is made, it is counted as part of the estate of the person who has died.

Mrs_Constant_Worry

Thank you - so that's OK then the tax can be claimed back and goes into the estate. I just didn't want it outside of the family.