christening gift

Mr_Raoul

Don’t know much about premium bonds, from what I can gather they are a waste of time?

My mates baby is christened at the weekend and another mate has suggested a few af us club in for £100 worth of premium bonds

Simple question, what would be best - £100 cheque into the babys account, or £100 premium bonds in the babys name?

agal

I had 4 £1 premium bonds bought for me as a christening present in 1957. I have never won anything with these bonds.

Mr_Raoul

agal wrote: »

I had 4 £1 premium bonds bought for me as a christening present in 1957. I have never won anything with these bonds.

so 50yrs later you still have only £4?

isofa

Mr_Raoul wrote: »

so 50yrs later you still have only £4?

Yep that's how it works! Lots of threads on this forum about PBs...

agal

Mr_Raoul wrote: »

so 50yrs later you still have only £4?

Yes, I've considered framing them to hang on the wall!

isofa

PS this is a good thread/discussion re PBs:

http://forums.moneysavingexpert.com/showthread.html?t=510305&page=7

TomsMom

Mr_Raoul wrote: »

Simple question, what would be best - £100 cheque into the babys account, or £100 premium bonds in the babys name?

The baby will have a Children's Bond. "Every child born from September 2002 onwards will receive a cash windfall of at least £250 at birth, with further government top-ups likely while the child is at school." From Gordon Brown's budget 2003. I think it's locked away until the child is 18.

You could ask the parents to add the £100 to the bond.

I'm another one who doesn't think premium bonds are worth it unless you've got thousands to invest and the return probably isn't as high as the interest rate on a Children's Bond or other children's account.

InMyDreams

Mr_Raoul wrote: »

Simple question, what would be best - £100 cheque into the babys account, or £100 premium bonds in the babys name?

Depends on your reason for giving the gift.

As a serious financial investment for the child's future, then IMHO just hand over a cheque and let the parents' decide where it will work best.

As a memento of the day, then maybe PB are a bit more sentimental. Personally I wouldn't touch PB with a barge pole with my own money as an 'investment', but I do have a tiny number (can't even remember how many, £5 maybe?) that my great aunt gave me when I was born. Never won a thing, but I wouldn't sell them. Just like I wouldn't sell any other sentimental gifts. And like other gifts, I don't think of them in terms of their face value. I don't expect to ever win anything from them, but if I did, the £50 would mean nothing compared to the extra memory of my great aunt it would create anyway.