Premium Bond Winner ?

Dan29

innovate wrote:

:eek: :eek: :eek: that could leave you with nothing left, the way the MSE subscriber numbers are going

Disclaimer: I meant everyone who'd posted on this thread*, not every MSEer! The value of bananas can do down as well as up. Your nose may be repossessed if you do not keep up repayments on a loan secured on it etc etc



*until ... now!

Stonk

February's Big Prize list is up (http://www.nsandi.com/products/pb/winnerlist.jsp), so most of you will be able to determine whether or not you have had a major win. If you're in Staffordshire with a £30K holding containing a £5K block bought in January 2003, go and check your exact bond numbers now!

The personalised pages are still only showing up to January, and will probably stay that way for a couple of days.

Wig

I recently worked out the rate of return on premium bonds to be about 2.75% which is quite poor to what you can achieve on the high street.

MAny years ago in 1996 I found the premium bond return offered to be similar to if not exceeding what I could get on the high street. I was with them for about two years and over that time I recieved a return of the same amount as I had calculated I would recieve according to the odds, so I had a similar amount that I would have had from a high street savings account.

Then they lowered the odds in their favour and have continued to lower the odds over the years, so now it is imo not worth the risk of doing it. I cancelled my bonds ages ago.

innovate

Wig wrote:

I recently worked out the rate of return on premium bonds to be about 2.75% which is quite poor to what you can achieve on the high street.

That may be your return, Wig - mine's currently standing at 5.8% (on £50 wins, never had anything larger). But I am monitoring things very closely, and if my return falls below 4% for a couple of months, I'll be out!

Wig

The point being that the odds they offer are imo very inferior to the odds they offered in or around 1996.

Stonk

The rate of return is currently 3% (irrespective of individuals' experiences).

I don't have all the historic data, but I do tend to agree that over the past ten years PBs have become less competitive compared to alternative routes for saving.

innovate

Stonk wrote:

The rate of return is currently 3% (irrespective of individuals' experiences).

I don't have all the historic data, but I do tend to agree that over the past ten years PBs have become less competitive compared to alternative routes for saving.

That's the average rate of return, based on bonds issued and price money available. There are clearly some people who have above average returns - like everybody on the large winners list for starters.

This means some people - and most probably the majority - will experience below average returns.

It's a lottery, after all, with only the stake guaranteed, not the winnings.

Wig

Seeing as they can't be bothered to make the average rate of return equal to or better than high street investment accounts. It is a poor investment.

Government bonds are supposed to offer a good rate of return traditionally, or so I have been told. I don't know if there are any other bonds from the gov and if they differ in returns but these (if they qualify as 'bonds' and I don't see why they shouldn't) are a poor investment.

Stonk

innovate wrote:

That's the average rate of return

Of course. What other figure were you expecting? Just like when people say "the stockmarket has gone up 5.39%", it's the rate of return experienced by particpants as a whole, rather than the next-to-meaningless rate of return experienced by any one individual.

One can say that one personally has achieved a return of 9%, or whatever, but it would be misleading to state that that is "THE rate of return".

jaybee

I've recently bought some PBs - longing for next month to see what happens. Watch this post!!!!