Lets start another contentious Thread

[Robin54]

Yep- FORUMITES - the subject - PREMIUM BONDS
Naturally, members here who hate the TORYS would not lend this government a penny. I get that. But when you see the returns
they are not that bad, considering what a BS gives you. Whats your thoughts? Mr Clint has prompted me to post this!
By the way, Im not looking for some political forum punch-up - just reasonable well thought out views.

 

[Clint]

Well...I've had a quick look. Your money is safe and you can have it back.

 

[dcbrookes]

I have had some since they started and have never won a penny.

 

[Brewnaldo]

Heres Martin Lewis explaining that they really aren't very good

https://www.moneysavingexpert.com/savings/premium-bonds/

 

[Scrattajack]

Premium bonds were a decent bet when interest rates were low and made me a few quid, but now returns on savings accounts are up, who knows? Think 5 grand was the minimum to make it worthwhile though.

 

[Leon103]

Never bothered.crap returns. My grandmother keeps trying to push them onto my kids. All get sold for crypto

 

[trueblue]

I have had bonds for a few years after getting rubbish returns from interest rates. First year, £15000 invested, I got £350 back. Second year upped it to £20000 and got back a little over £500 and so far this year it has already paid out over £1400, that includes one win of £1000. So far this year there has only been 1 month I have not won something.

 

[Agentgonzo]

Lets start another contentious Thread​

I boil my premium bonds for 30 minutes.

 

[Chippy_Tea]

I boil my premium bonds for 30 minutes.

60 - 90 for me i want to get the most out of them

 

[Robin54]

What's the average return on 20k ya recon?

Heres Martin Lewis explaining that they really aren't very good

https://www.moneysavingexpert.com/savings/premium-bonds/

It seems some financial experts dont like them, and advise you sell up. Logic for me would say that if lots of folk sell up, I have a greater chance of winning.
At least you have instant access at any time and your cash is not tied up for 3 years. As an aside I met an accountant at a seminar, who recommended, buying them with your VAT (if you have a vat registered business) and then sell up after a year to pay the tax man -if you win a few bob its a win win.

 

[Leon103]

It seems some financial experts dont like them, and advise you sell up. Logic for me would say that if lots of folk sell up, I have a greater chance of winning.
At least you have instant access at any time and your cash is not tied up for 3 years. As an aside I met an accountant at a seminar, who recommended, buying them with your VAT (if you have a vat registered business) and then sell up after a year to pay the tax man -if you win a few bob its a win win.

Isn't VAT paid quarterly???

 

[Clint]

It is.

 

[Leon103]

It is.

Thought I was doing something wrong then, luckily the account mentioned above doesn't really have a clue.

 

[foxy]

Isn't VAT paid quarterly???

Here it depends on the amount of sales tax collected, one month over $20 mil goods and services tax is paid monthly, under $20 mil is quarterly, $75,000 or under is annually.
As our tax laws are generally similar it may be the same there.

We don't have any government bonds as far as I know, the best money spinner here is in land and property but you will need a sizeable stake to get into it.

 

[Leon103]

Here it depends on the amount of sales tax collected, one month over $20 mil goods and services tax is paid monthly, under $20 mil is quarterly, $75,000 or under is annually.
As our tax laws are generally similar it may be the same there.

We don't have any government bonds as far as I know, the best money spinner here is in land and property but you will need a sizeable stake to get into it.

No it's quarterly

 

[foxy]

Or annually, according to 'Pay your VAT bill' UK Government

 

[DocAnna]

You want a contentious thread - how about taxation of pension contributions? Far more messy technical and unfair than premium bonds. Bah humbug and all that - absafriggin awful.

 

[foxy]

You want a contentious thread - how about taxation of pension contributions? Far more messy technical and unfair than premium bonds. Bah humbug and all that - absafriggin awful.

But you are taxed at a lower rate aren't you? 15% here for private schemes.

 

[Leon103]

Or annually, according to 'Pay your VAT bill' UK Government

But that's paying 1 year in advance based on your last bill. If you do this then your can't put the money in a bond.

But if you pay quarterly you can earn 15% interest on it via another platform and that's what we do.

 

[Jon1961]

You want a contentious thread - how about taxation of pension contributions? Far more messy technical and unfair than premium bonds. Bah humbug and all that - absafriggin awful.

I feel your pain. One reason why I retired from the NHS when I did.