A Premium Bonds customer was perplexed after they won a prize in the April draw but the funds have still not arrived in their bank account.
They contacted the savings giant this morning (April 9) over X to ask: “I won topped up my Bonds to £50,000 last month (the new ones weren’t in the April draw though).
“Also changed from reinvest to pay out. I won £125 but it’s not been paid out. I either now have £50,125 Bonds or you need to pay out the £125. When do the prizes get paid?”
The provider said in response: “Premium Bonds prize winnings are paid by the seventh working day of the month. This month the seventh working day is the 10 April.”
Premium Bonds are entered into a monthly prize draw rather than getting an interest rate as with a conventional savings account.
A person can hold up to £50,000 in Bonds, and by holding more Bonds you have a better chance of winning a prize.
Each purchase of more Bonds has to be for £25 or more, with each £1 Bond having an equal chance of winning in the monthly draw.
The monthly prize draw includes two life-changing jackpot cash prizes for £1million and several large cash prizes for £100,000 and £50,000.
The Government was recently criticised for the release of the new British Savings Bonds through NS&I, which were announced in the Spring Statement.
Experts from wealth firm AJ Bell said the choice of name of the new savings product was a “fancy bit of marketing” with the Chancellor trying to “capitalise on some patriotism” when in reality the funds would go into a generic pot.
An NS&I spokesperson said in response: “NS&I provides cost-effective financing for Government and the public good by offering trusted savings and investment propositions while supporting a fair and competitive market and balancing the interests of our savers, taxpayers and the market.
“We raise public finances sustainably and efficiently. HM Treasury allocates how money raised through NS&I products is invested back into supporting the UK.”
The Treasury declined to comment when asked how funds from the British Savings Bonds will be used.
The new savings scheme were also criticised for their relatively low interest rate, at 4.15 percent AER (annual equivalent rate). The prize fund rate for Premium Bonds is currently 4.4 percent.
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