Savings Advice Needed

Thunderpants1817

I currently have in the region of £50,000 in premium bonds and have held them for approximately 2 years and the best I’ve even won in a single month is £100 and the odd £25.  I have a War disablement pension and an Army Service pension totalling £2958.00 per month both of which are tax free, I am aged 64 in August 2023 and my wife is my carer.

I am also lucky enough to not have a mortgage, my question is do I continue with the premium bonds in the hope of winning a bigger prize or put what money I have into a savings account.  If the bonds are kicked into touch which savings should I go for.

thanks

Middle_of_the_Road

Whether you choose to keep the premium bonds, or go for a savings account is a decision, you will have to make. No one can know which is likely to be more profitable over time.

If you're going to get your state pension next year, which is subject to tax, and depending on any other taxable income, it's worth bearing in mind premium bonds wins are tax free. If you do go for a savings account, an ISA may be the better option.

Albermarle

You can compare Premium Bonds to an easy access savings account, which are currently paying a bit more than the average prize rate from Premium Bonds ( which has recently been increased)
You can get better savings rates by tying your savings up for longer periods.

Best savings accounts: 4.35% easy access or 6.05% fixed rates (moneysavingexpert.com)

xylophone

Have you and your spouse obtained state pension forecasts?

https://www.gov.uk/check-state-pension

Bigwheels1111

Apart from carers allowance does your wife have any other income.
If not After carers allowance your wife could get £14,560 in interest tax free.