Millions of pounds more in Premium Bonds prizes will be up for grabs from the 1st of October as NS&I increases the prize fund rate from 1.40% to 2.20%, adding an expected £76 million to the prize fund for October.
The changes will see the number of £5,000, £10,000, £25,000, £50,000 and £100,000 prizes almost double. There will also be 19 times as many £50 and £100 prizes paid out from October. The odds of each £1 Premium Bond number winning a prize will also improve from 24,500 to 1 to 24,000 to 1. NS&I Chief Executive, Ian Ackerley, said: “With over 22 million holders, Premium Bonds are the nation's favourite savings product and are more popular than ever. It's great to be able to increase the prize pot and give our customers more chances each month to win tax-free prizes.
"This is the second increase to the Premium Bonds prize fund rate that we have made in less than six months. These changes have helped us ensure that Premium Bonds remain attractive, while also ensuring that we continue to balance the interests of savers, taxpayers and the broader financial services sector.” The risk-free purchasing of Premium Bonds is a popular way for savers to put money away, with the hope of winning a tax-free cash prize of up to £1 million, with two £1 million winners guaranteed monthly and hundreds of smaller prizes, plus if you do win, you might win again next month, as the prizes reset every month so you could win over and over again!
Each bond costs £25, and you can own up to £50,000 of bonds, and you even with just £5 of bonds, you could still win a major prize!
The money you put into Bonds can be withdrawn at any time, and this takes around one week to hit your bank account.
Any winnings are tax-free, whether you win £50 or £1 Million!
If you are interested in Premium Bonds, you can find out more via the NS&I website HERE.
If you are interested in other opportunities to win money using your savings, even with smaller amounts, also consider the newly launched Chip prize-winning savings account that we posted about earlier, and use our special link to earn bonus draw entries with your first save!