Premium Bond Winner ?

2010

BooBinky wrote: »

I am a Premium Bonds Newbie and I just recently purchased £6500 at the minute and I plan on adding quite regularly


The good news is that they were only in this months draw and I won £25 - October *YAY* :j


I have been reading this thread and I Totally Appreciate Everyone's Input and Sharing


I am under no illusion with regards to returns etc...on Premium Bonds and I am just enjoying the Wee Thrill....will I ...won't I win a Prize

Well one post and two thanks, you`re already 100% up, can`t be bad.
The thing about PB is your money is still there even if you don`t win,unlike the national lottery.

It`s amazing how gullible the public are.
They pay £2 a ticket, the top prize isn`t won and instead of drawing it again they roll it over.

One day the NL will be exposed for some sort of scam because where`s there`s money

---

there`s a fiddle.

Keep buying your PB because savings rates are crap.;)

redpete

2010 wrote: »

It`s amazing how gullible the public are.
They pay £2 a ticket, the top prize isn`t won and instead of drawing it again they roll it over.

As pretty much everyone playing the lottery understands - so why gullible?

One day the NL will be exposed for some sort of scam because where`s there`s money

---

there`s a fiddle.

In what way is this a scam, the chances of winning are well known, where the money goes is well known? True it gives you a minuscule chance of winning a big prize but is this much worse than Premium Bonds that give you a tiny chance of winning a big prize ("minuscule" and "tiny" are formal definitions of different levels of very small probabilities.)

Keep buying your PB because savings rates are crap.;)

From an MSE article on Premium Bonds "If you owned every Premium Bond in existence, the amount won over a year would be equal to 1.35% of what you put in." - in what way is this better than the 'crap' interest rates from a savings account?

6022tivo

redpete wrote: »

From an MSE article on Premium Bonds "If you owned every Premium Bond in existence, the amount won over a year would be equal to 1.35% of what you put in." - in what way is this better than the 'crap' interest rates from a savings account?

I am not sure this is true.
My understanding is that a an approximate annual amount equating to 1.35% of the fund is dished out in prizes.

This does not equate to the individual bond holder receiving 1.35% back in prizes as there are 1 (or maybe 2) one million pound prizes, this dilutes the potential back to the bond holder. Unless you are very lucky, you won't see anymore than 1% coming back in prize money.


My friend has 40,000 worth and was bragging that they have a free chance to win £1 million every month, but if invested in an account giving 2.2% interest, they are effectively gambling £880 a year.
Personally I feel £880 is a lot to gamble every year, and would pay for a holiday or a break away.

If you need Premium bonds for a tax (credit) dodge, then ok, but as an investment you are better off saving and gambling the interest on something more worthwhile.

redpete

6022tivo wrote: »

I am not sure this is true.
My understanding is that a an approximate annual amount equating to 1.35% of the fund is dished out in prizes.

Of course it's not true that everyone will get 1.35%, very few people will get more, most will get less - but this is probably not the place to get into discussions about mean / median / probability distributions / randomness.

2010

No matter what, you don`t lose your money every week with PB unlike the NL.

6022tivo

If you have a 40,000 holding you are gambling £880 on premium bonds every year.
You are better off and have more chance of winning, by putting that money in a 2.2% interest account and buying £880 worth of scratch cards or lottery tickets every year.

atush

redpete wrote: »

As pretty much everyone playing the lottery understands - so why gullible?

In what way is this a scam, the chances of winning are well known, where the money goes is well known? True it gives you a minuscule chance of winning a big prize but is this much worse than Premium Bonds that give you a tiny chance of winning a big prize ("minuscule" and "tiny" are formal definitions of different levels of very small probabilities.)

From an MSE article on Premium Bonds "If you owned every Premium Bond in existence, the amount won over a year would be equal to 1.35% of what you put in." - in what way is this better than the 'crap' interest rates from a savings account?

For me it is a scam, because it is run for profit. It should be run by the govt, and all the proceeds used for good causes.

Camelot deserve nothing.

BooBinky

Thank You for The Thank You's




Yeah...I didn't buy My PB's as an Investment just a wee place to put some extra money that I have.


Oh and there is also the chance I could win a Prize and I did £25 First Month In *Beginners Luck*


I know a lot of people who have stopped playing the lottery and a couple of people who have never ever played the lottery...I myself only play now and again as my Mum has all the Birthday Numbers in a Line and they say it is usually numbers all connected to yourself that could be lucky for you ( I know People will say that is Superstitious Mumbo Jumbo ) and it's a game of chance etc.... Me Dad says "You Pay Your Money You Take Your Chance"....LOL

2010

BooBinky wrote: »

Thank You for The Thank You's

Yeah...I didn't buy My PB's as an Investment just a wee place to put some extra money that I have.

They could never be classed as an investment but I think they`re worth taking a chance on because of the poor savings interest rates.
Keep tucking them away a few at a time and you never know you might hit the big one.
And of course if you ever need the money for something else it`s still there.

Eco_Miser

6022tivo wrote: »

Originally Posted by redpete
From an MSE article on Premium Bonds "If you owned every Premium Bond in existence, the amount won over a year would be equal to 1.35% of what you put in." - in what way is this better than the 'crap' interest rates from a savings account?

I am not sure this is true.
My understanding is that a an approximate annual amount equating to 1.35% of the fund is dished out in prizes.

This does not equate to the individual bond holder receiving 1.35% back in prizes as there are 1 (or maybe 2) one million pound prizes, this dilutes the potential back to the bond holder. Unless you are very lucky, you won't see anymore than 1% coming back in prize money.

I think you missed the bit I have emphasized. If you did own ALL the bonds, you would win ALL the prizes, and therefore get the whole 1.35%, making the quote true. In reality, most people get much less, and many get nothing at all.