Premium Bond Winner ?

slinger2

I think it's pretty clear that Premium Bonds are a poor savings vehicle for non-taxpayers. I'm a 20% taxpayer getting well over the £1k allowance in interest, so at least there's some advantage in the PBs prizes being tax free (any additional interest I get on non-ISA accounts is taxed at 20%). Even then I'm thinking it's a marginal gain.

BooJewels

slinger2 said:

I think it's pretty clear that Premium Bonds are a poor savings vehicle for non-taxpayers.[snip]

Not necessarily - I think some do better than others - I think I'm one that has done a bit better.  People need to decide if they suit their personal circumstances or not.  As has been mentioned by me and others, it's a format that makes getting at your money relatively easy in an emergency, but also not so easy that you might dip into it frivolously.

As posted a few pages back, I've had PBs for 3 years (i.e. April was my 36th draw) and in the first year my return was 2.95%, 2nd year 5.56% and this last year 5.23% - an average over the 3 years of 4.58% - probably fairly parallel to interest rate movement generally.  It's remained slightly above the average of all of my interest rates elsewhere - my personal criteria for keeping them.

slinger2

The prize fund is now 3.80% (the mean return) while the median is now about 3.30% over 1 year with a full holding. So of those who've got £50,000 half will get 3.30% or less over a year.

Of course if you want random returns from your savings accounts then perhaps it's for you. Better than the lottery or the bookies.

NoMoneyNoWorries

I just saw that someone with a £1 holding since 1969 just won £25000.
I wonder if that person is still alive 

strawb_shortcake

NoMoneyNoWorries said:

I just saw that someone with a £1 holding since 1969 just won £25000.
I wonder if that person is still alive 

If they were bought it as a baby they'd be 56 now, even if they were 20 probability of them still being alive is high

eskbanker

NoMoneyNoWorries said:

I just saw that someone with a £1 holding since 1969 just won £25000.
I wonder if that person is still alive 

As did others when the subject was discussed three days ago, a few pages back!

https://forums.moneysavingexpert.com/discussion/comment/81377915/#Comment_81377915

MrsArtsandCrafts

Full holding:

Jan £300
Feb £325
Mar £225
Apr £250

Total £5,400 over 22 months

pmets

MrsArtsandCrafts said:

Full holding:

Jan £300
Feb £325
Mar £225
Apr £250

Total £5,400 over 22 months

Luckier than me!

MrsArtsandCrafts

pmets said:

MrsArtsandCrafts said:

Full holding:

Jan £300
Feb £325
Mar £225
Apr £250

Total £5,400 over 22 months

Luckier than me!

Sorry to hear that - fingers crossed, it could change at any time. I think I have been particularly lucky - I keep an eye on it thinking if it drops off I'll move them out to a savings account but the lure of the big win is hard to resist!

Hoenir

pbcpdeveloper said:

Hoenir said:

Full Holding £50k

Jan -   £75
Feb - £200
Mar - £100
Apr - £50

YTD - £425

2024 - £2,725    Yield 5.45% 

Months without a blank - 16

£175 on FH

Got you beat, currently on a 29 month winning streak starting from December 2022

That's from when I reached the maximum holding.