I’m getting fed up with premium bonds.

[sodthisforfun]

Well, if it makes you feel any better, I didn't win this month.. I've won once, that was last month, £50!

I don't think they are anything more than somewhere to put your money safely with the added bonus of a no-risk gamble. Like buying a lottery ticket and you don't lose anything if you don't win.

 

[dontbelieveawordofit]

lucky if i win once a year.

 

[Mottie]

Times can't be that hard, if you've got enough spare to put £60k away anywhere.

That’s between two of us. Times are not hard for us at the moment. We’ve saved for years but used to regularly win £50 plus every month when we first started with about £10k between us. Seems the more we put in, the less we win!

 

[ajohn]

I moved what we have to the Coventry building society. Over 1% but the bank rate was cut a bit so it dropped. 3 withdrawals a year account if needed. Suits us as ours goes down now and again. Can't save much these days. They have consistently paid out more than many others but not as much difference as a true building society used to offer over the others.

I missed a better offer off them due to looking around so had to wait for another to pop up.

I didn't notice any interest added to my current account last month. Something I need to check. They did pay more for 5k+ but made that zero and now 2k5. I'm wondering if they have switched to 0 if higher than some number.

 

[Vinty]

The chances of winning were reduced because of the 2008 banking crash.
Odds of winningEdit
In December 2008, NS&I reduced the interest rate (and therefore the odds of winning) due to the drop in the Bank of England base rate during the credit crunch, leading to criticism from members of Parliament, financial experts and holders of bonds; many claimed Premium Bonds were now "worthless", and somebody with £30,000 invested and "average luck" would win only 10 prizes a year compared to 15 the previous year.[23][24] Investors with smaller, although significant, amounts would possibly win nothing

 

[ajohn]

There is recent info on premium bonds and other NSI here
https://www.moneysavingexpert.com/news/2020/04/ns-i-cancels-planned-premium-bond-rate-cut-/

 

[Munroast]

get yourself some emerging market shares, take a look at latin america - they're about 20 - 30% lower than what they were.

 

[sodthisforfun]

That’s between two of us. Times are not hard for us at the moment. We’ve saved for years but used to regularly win £50 plus every month when we first started with about £10k between us. Seems the more we put in, the less we win!

I think I mentioned it before, but between dad in law and other half, I think they've about 85-90k between them, I'd have to ask the better half exactly what he has! I know dad in law is maxed out. They both won £25 this month, and same last month. Dad in law used to regularly get £500+ winnings, but nothing of note for the last year.

All lady luck...

 

[ajohn]

I didn't notice any interest added to my current account last month. Something I need to check. They did pay more for 5k+ but made that zero and now 2k5. I'm wondering if they have switched to 0 if higher than some number.

I'm getting cheesed of with banks. My current account is still offered with the same terms as when I changed to it so should be getting interest on up to 5k and none on any over that. So people are attracted to them and then they just willy nilly change the terms on an individual basis probably because I kept the balance over 5k as it gave a decent return.

 

[JP_]

£60k, you're a lucky guy!

Still no savings to my name, and about 100k on the mortgage.

 

[JohnD]

Bear in mind that a Premium Bond is not an investment or a gamble, it is almost exactly a cash savings account paying slightly over the odds in interest. Interest rates are currently very low. The account is with an institution that is "guaranteed" not to go bust, default, or run off with your savings. The prize fund "interest" rate is currently 1.4%, which is better than I think you will find at any other reputable institution. In days gone by interest rates have been higher, at times when inflation was also higher, so the "real" value of your savings diminished over time. The prize fund goes up and down with interest rates, and is currently unusually high compared to banks. There is a reason for this.

The key difference is that the interest earned is not paid out equally, but raffled off to all the savers according to chance. Prizes are tax-free, which can be an advantage.

Rather as if you had a monthly interest payment and spend it all on a lottery ticket. Most likely you'd lose every time, but maybe, just maybe, you'd win something.

The amount you saved is unchanged and not at risk.

 

[mitch66]

£60k, you're a lucky guy!

Still no savings to my name, and about 100k on the mortgage.

House worth ten million though

 

[JP_]

House worth ten million though

When I've finished with it, it will be. Not because of the work, just because of the time it is taking and inflation!

 

[Doug99]

Somebody has to win the £1,000,000 ticket each month..........it could be YOU.................but hopefully ME

 

[JP_]

I had some premium bonds years ago. I did win about 3 times in the first 6 months or so, and thought, this is good. Then nothing. Cashed them in, got drunk. Winner.