Premium bonds - weird coincidence

[Fastpedaller]

Not quite true Spokey. For some of us it is a place to shelter some money from HMRC and if you win a few quid along the way then all the better.

Shelter? - Surely paying tax on interest earned by putting money in an interest-bearing account still means you get the majority of the interest? Do you begrudge HMRC that you want to deny them the tax, even if it means you lose more?

 

[Chislenko]

Shelter? - Surely paying tax on interest earned by putting money in an interest-bearing account still means you get the majority of the interest? Do you begrudge HMRC that you want to deny them the tax, even if it means you lose more?

It's a complex situation. Leaving the money in Premium Bonds suits us, obviously it doesn't suit everyone. And I do pay lots of tax already!

 

[Chislenko]

July.

£450 for me
£175 for Mrs. C

 

[biggs682]

£275 extra into the house this month better than a poke in the eye

 

[Mo1959]

Just £50 for me and only £25 last month too. Pathetic. I just don’t seem to be a lucky person.

 

[biggs682]

Just £50 for me and only £25 last month too. Pathetic. I just don’t seem to be a lucky person.

You are lucky you are on cycle chat

 

[vickster]

£200 for me and £300 for my mum 👍

 

[Tenkaykev]

£150 for me and £200 for Mrs Tkk

 

[figbat]

£525 for me this month, £50 for Mrs figbat.

 

[mistyoptic]

A poor £75 for me and nowt for Mrs O

 

[Mo1959]

A poor £75 for me and nowt for Mrs O

It’s a bit demoralising seeing what others seem to get nearly every month while mine has been so poor. Not sure how much longer I will leave them. It’s just this anticipation that next month will be better that has stopped me taking them out so far.

 

[Chislenko]

It’s a bit demoralising seeing what others seem to get nearly every month while mine has been so poor. Not sure how much longer I will leave them. It’s just this anticipation that next month will be better that has stopped me taking them out so far.

To be fair Mo I have had a bit of a lean spell with similar figures to you prior to this month.

I predict next month will be your turn......crosses fingers 🤞 🤞

 

[Shadow]

It’s a bit demoralising seeing what others seem to get nearly every month while mine has been so poor. Not sure how much longer I will leave them. It’s just this anticipation that next month will be better that has stopped me taking them out so far.

Do not be demoralised - it depends totally on how much you have 'invested' in PBs. Those who win larger sums regularly probably have the full amount of £50,000 tucked away in PBs. Or somewhere near the max.

Another (better?) way of looking at it is in percentage terms. If your total winnings in any 12 month period exceed what you would gain in interest if you had your money elsewhere, then you are doing well. The last 2 years I have achieved 3.2%, which is much better than previous years, and am happy with that. This year is around 5% and I am astonished as I do not have anywhere near the max!

If I was only getting around 1% or 2%, I would seriously consider moving out of PBs. But some folk stay with them hoping they might win one of the very large prizes.

The other aspect to consider is the PB prizes are tax free, which may or may not be relevant to your financial situation.

 

[ebikeerwidnes]

Last year I calculated by interest as running at about 5%
plus the value of the chance to win something BIG

so far this year - one very small win - so basically naff all%

we shall see this month

 

[Mo1959]

Do not be demoralised - it depends totally on how much you have 'invested' in PBs. Those who win larger sums regularly probably have the full amount of £50,000 tucked away in PBs. Or somewhere near the max.

I do have the maximum which is why I’m not happy with what I’ve won since taking them out. Only one month I got £275 if I remember correctly. I’ve had a lot of just £25 or £50 which I feel is poor.