Martin Lewis shares your chances of winning Premium Bonds – are they worth it?

Martin Lewis, Money Saving Expert, is well known for offering Britons the latest guidance on money-related issues. The latest instalment of his ITV Money Show was no different, and the expert looked at the odds for Premium Bonds. Premium Bonds offered by NS&I are a popular savings method as they offer the chance to win a £1million jackpot.

However, many are still holding out for a win, with some questioning whether the method is worth it at all.

Thankfully, Martin was on hand to offer his top tips on Premium Bonds, and chances of securing a return.

He said: “The prize fund with Premium Bonds is one percent. So you’d expect you’d win one percent of what you put in each year.

“But of course the smallest prize is £25. So if you’ve got £100 in Bonds, you can’t win one percent, the least you can win is £25.

READ MORE: 50p coin ‘sells for £21,000’ – check your wallet for these coins

“That’s the median average.If you got up to around £1,900 in, with typical luck, you’ll win absolutely nothing.

“Then it sharply rises and keeps getting higher until you get to the £50,000. At this point, with typical luck, you’d win about 0.9 percent or £450 per year.

“That’s still less than the prize fund because of all of those million pound winners.”

An alternative option available to Britons is the more traditional method of saving with banks or building societies.

A key advantage of Premium Bonds which many people state is that the prizes which are issued are tax-free.

However, Martin highlights this may not be as major of an issue as people might think.

He added: “Most people don’t pay tax on savings, only five percent of people do.

“If you’re in that five percent, these become a much better bet, but it isn’t really an issue for most of you.”

Finally, Martin looked at the key draw for Premium Bonds – the chance to strike it lucky and win big.

While individuals could well secure a significant win, Martin said just as many people will win less, and “it wasn’t that good to start with!”

As a result, he recommended Britons look into different options, including seeing whether they could be better off with a fixed rate savings account. 

Martin Lewis is the Founder and Chair of To join the 13 million people who get his free Money Tips weekly email, go to

Stay connected with us on social media platform for instant update click here to join our  Twitter, & Facebook

We are now on Telegram. Click here to join our channel (@TechiUpdate) and stay updated with the latest Technology headlines.

For all the latest Business News Click Here 

 For the latest news and updates, follow us on Google News

Read original article here

Denial of responsibility! TechAzi is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected]. The content will be deleted within 24 hours.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More