Premium Bond Winners – Check Premium Bonds

Posts Tagged ‘saving’

Are Premium Bonds Worth It?

Premium bonds are becoming more popular everyday.  Millions of people are investing in these bonds and some are questioning if they are really worth it.  Premium bonds were introduced in 1956 as a way to get the public to invest into the British Government. This was set up like a lottery so that the common man could save and at the same time have a chance to winning millions of pounds. Nearly twenty million people, a third of the population now owns at least one premium bond. Investors can buy these bonds directly from the post office or they can purchase from the National Savings and Investment firms. You can then check premium bonds at the nsandi website.

Since interest rates are falling, premium bonds are seen as a safe way to invest and at the same time have the thrill of winning one of the over million and a half cash prizes awarded each month. Fifteen percent of the prize money is used for high cash prizes and another fifteen percent is used for medium cash prizes.  The remaining seventy percent of the money was used to award lower prizes that are as high as fifty pounds. A fifty pound prize on a one bond is almost a 500 percent return. Right now you have a 1 in 21,000 chance to win, but with the bonds becoming more popular, those odds may be greater in the future.

You have to buy at least one hundred pounds to invest in premium bonds and you can only have thirty thousand pounds in an account. The bonds are backed and protected by the national treasury. Anyone who invests can be assured that when they decide to pull out their funds, the money will be there.  Anyone can invest as long as you are sixteen. Many parents buy premium bonds as a way to pay for their children’s college. Young investors can learn the value of savings and at the same time get the chance to win enough money to set them up for life.

Unlike lottery tickets, the same bond can win over and over. The more you invest, the more times you will have a chance to win. The winnings are tax-free and you can even reinvest the money you win until you reach the thirty thousand pound limit. It has been reported that the odds in winning has declined in the last ten years.  It is a matter of statistics that the more bonds that are bought the lower the chance that your bond number will be picked.

The odds are still better than the American lottery because you don’t have to buy a different ticket each time. You can find out if your bond number is picked by looking at the National Saving and Invest website. Here they list all the winning numbers and all you have to do is call or contact them for you to claim your prize. It is recorded that the National Saving and Invest firm has over five hundred thousand unclaimed prizes that they are holding for claimers.

Are Premium Bonds a good idea at the moment?

Q I Am thinking of investing in premium bonds and would like to know what the odds are of getting a prize and how safe my money will be. A Premium Bonds are issued by National Savings and Investments and are backed by the Government

Premium Bonds offer worst deal for 50 years

Britain’s 23million savers who have Premium Bonds are being hit by the worst deal since they were launched more than 50 years ago.

Premium Bond prizes held steady

The Premium Bond prize fund is to stay at current levels in February and March – despite cuts in interest rates.  

Premium Bond minimum win to be cut to £25

National Savings & Investments (NS&I) have today announced that they will be introducing a new £25 Premium Bond prize amount. 

Premium bonds go back to the 1970s with shrinking pay outs

Premium bonds go back to the 1970s with shrinking pay outs. Jan 21st, 2009. by Telegraph Politics. Payouts from premium bonds Britain’s most popular form of saving are likely to shrink yet further in April.

Technorati Tags: bonds values, check, draw, numbers, premium bond checker, saving, savings

There are too many types of investments these days, sometimes we may feel frustrated to choose the one which is right for you. It may take quite a long time to learn about different investments.

The best thing you can do is to find some information about different investments, and on an investment in particular, bonds. In fact, a bond is a kind of security that pays a certain fixed amount of interest at a regular period of time.

Actually, a good investment strategy can minimize losses and increase your profits. Everyone should remember of the theory of diversification. "Don’t put all your eggs in one basket", and that cannot be overstated anymore when it comes to investing. The chances of losing money with one particular bond may be small. In contrast,if something does happen and you put everything in that bond investment, you then lose it all.

In case, you hold a bond payment until maturity, most of the time you will get the interest twice per year. The amount you paid for it will be larger than the amount you receive at maturity, if it is selling at a premium. A bond will be sold at a premium when the coupon is higher than the prevailing interest rates. The buy and hold strategy really works very well as the fluctuations will not affect you as much as other investors. If you want to sell your bonds at the sign of trouble suddenly, then it will affect you more and you would be losing rather then a potential profit. Also , high-yield bonds can be very profitable, but that is a bit risky. That is why high-yield bonds are also called as junk bonds. Even though they may offer a huge return, it is true that you may never receive that return. You may know that the lower the credit ranking, the higher the risk. Therefore, when you invest in bonds for the first time, it is better that you show little interest in this area.

Remember not to get tempted by investing. Believe your feeling and the information or research that you have. Do not complete depend on your gut feeling as it will now help you to gain a big profit. If you invest the first time, you should start slowly with a few types of bonds and then slowly buy more later. It does not make sense in going crazy and buying up everything that you think they will make you profit. Think calmly and you will find that there is a lot of money can be made elsewhere.

By Rashme Wong

For more info on premium bond winners check these related posts:

National Savings Premium Bonds – Pros and Cons

National Savings premium bonds encourage tax-free savings and provide capital protection. The odds of winning are prohibitive. Are the potential rewards really worth it? 

Rates cut sees Premium Bonds suffer

Millions of Premium Bond investors have seen their chance of winning fall dramatically with cuts in interest rates having halved the total amount of available prize money over the past year. 

Premium bonds making fewer winners

Premium bonds making fewer winners Get the latest banking and savings news from Moneynet, providing constant updates on the banking and savings market and the latest banking and savings developments.  

Savers Suffer From Premium Bond Fund Shrinkage

NS&I says that the pot has got smaller, thanks to recent rate cuts.  

Premium Bonds offer worst deal for 50 years

Britain’s 23million savers who have Premium Bonds are being hit by the worst deal since they were launched more than 50 years ago. 

Technorati Tags: checker, nsandi, premium bond numbers, saving, series e, unclaimed bonds