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eskbanker

MatthewAinsworth wrote: »

If you take out the unlikeliest prize, what average rate would they then give?

There are two £1m prizes each month, out of the total prize fund of £68.1m, so the average rate without those would be 66.1/68.1 * 1.15% = 1.116%

Flobberchops

Ditto shept and eskbanker - your money won't actually be eligible for prize draws for at least a month, further driving down the expected rate. If it was a year I'd have said PB, but for 6 months, it may not be worth it.

eskbanker

Flobberchops wrote: »

Ditto shept and eskbanker - your money won't actually be eligible for prize draws for at least a month, further driving down the expected rate. If it was a year I'd have said PB, but for 6 months, it may not be worth it.

It doesn't really drive down the rate though, as long as you time it right - if you buy right at the end of a month and then sell immediately after a draw (they provide support for doing this) then it's much the same as being paid monthly interest in arrears.

serko

Thrugelmir wrote: »

On what basis?

On the basis that we have a 10 year fixed rate of 2.75% and that historically average yearly returns on the stock market are 7%.

I'm more than happy with the choice we've made, however there is off course a chance that we won't beat our interest rate of 2.75% which is why I said should.

From February 1996 onwards, there were just six out of 120 periods of 10 years when investors would have lost money.

* All of them fell within the same block of time, starting during the dotcom boom in January to June 1999 and ending during the stock bloodbath caused by the financial crisis from January to June 2009.