Premium Bonds

A premium bond is a bond that is selling for more than its par value on the open market. Bonds usually trade for a premium if their interest rate is higher than the market.

Why Purchasing Premium Bonds Can Make Sense In A Rising Rate Environment

A Premium Bond is a lottery bond issued by the United Kingdom government since 1956.

. At present it is issued by the governments National Savings and Investments agency. For example if you invest. Premium Bonds are valued at 1 each and the minimum holding is 25 maximum 50000.

NSIs Premium Bonds savings vehicle is unusual it doesnt pay interest. Open an account and you could win big in our monthly prize draw. Before we get into the advantages lets take a look at the basics of how premium bonds work.

If you buy an outstanding bond in the secondary market at a price of less than par and hold it until it matures at the. We created Premium Bonds and you can only get them from us. The home of Premium Bonds.

For every 1 of savings you invest youll get a unique bond number. If you held the maximum of 50000 you would on average win one-two prizes a month although they would most likely all be 25. Scams On Premium Bonds.

Two-factor authentication is hereThe way you log in to your account has changed. Instead savers purchase 1 bonds which are entered into a draw on the first of each. Hannah Jewell invested PS1700 in a high-interest.

Prizes are drawn monthly and range from 25 to 1 million paid free of tax. A recent report in the Times newspaper describes a scam targeting people with premium bonds. Premium bonds may avoid negative tax consequences.

The maximum premium bonds you can hold is 50000.

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