Premium Bonds - £50k each?

sequin123

ranciduk said:

What is the reasonable amount roughly?! If you don’t mind me being a nosey sod

Roughly £425 over 5 draws - perhaps beginners luck :-)  
I have just been on hold for 30 minutes trying transfer and have just got cut off arrghhh

ranciduk

Wow
not bad at all!

Stubod

We are maxed out and over the last few years we have pretty much had the published nominal interest rate which means we normally get something every month. Only ever had two £500's, all the rest are made up of the usual £25's.

The_Fat_Controller

I also hold the maximum and in the last 11 months have won £500 overall.
As I pay higher rate tax, that's a decent return on cash.

doe808

I know someone that won £25k in the last year. Cash was only being parked for a few months before a house purchase.

strawb_shortcake

I've got the max, had £650 in the first 12 months, 2 months into second year and only £25. I've never had more than a £25 prize.

With the person that knows someone that has 6 maxed accounts in others names, a big win might cause some issues if it goes into another person's account, nothing to stop them keeping it is there? Also what sort of due diligence do NS&I do when paying out, especially now that it's into nominated accounts, if 6 holders prizes all to same nominated account that should be noted surely?

csgohan4

VXman said:

Never really 'got' premium bonds. Always seemed to me.to be better to.save in a interest bearing account than trust luck. However, given the level of interest rates avaliab!e now it.seems more understandable. Personally I'd still prefer to put 100K  in a.reasonably safe investment fund.

I had a friend with 6 accounts maxed.out (using other people's names) and always raged each month about how.much she won. What she never did was work out what the equivalent interest was. It would be interesting to know if she really did any better than a 1% savings account.

investment funds are not suitable for those that want quick access to money. PB seems a reasonable strategy to park an emergency fund, rather than low rate interest rate accounts. 

Imagine your investment drops 20% and you need some money now for a new boiler, your already on a loser. 

Investments should be for 5-10 years. not adhoc. Unless your short selling, in which case good luck

gunjin

I had completely forgot that I had been given a gift of £3 in paper PBs when I was a young child in the 1970s. On converting the paper into electronic form I discovered that my £3 had appreciated over the intervening decades to...£3. In real terms that represents a loss of some 80% in value. Yes, I know the amount is tiny and this means nothing. Just thought it was interesting.

Stubod

...IMHO having "small" amounts in PB's is a bit if a waste of time as the odds are you will not "win" anything and obviously over time you will lose money to inflation.

Frogletina

gunjin said:

I had completely forgot that I had been given a gift of £3 in paper PBs when I was a young child in the 1970s. On converting the paper into electronic form I discovered that my £3 had appreciated over the intervening decades to...£3. In real terms that represents a loss of some 80% in value. Yes, I know the amount is tiny and this means nothing. Just thought it was interesting.

I've just checked 2 premium bonds from 1958. Still worth a pound each, and no prizes. That would have been worth a lot of money then. My weekly wage in 1968 was £4 4s 1p.