1.4% of £10,000 is £140. The minimum prize is £25, so on average you could expect 140/25 = 5.6 prizes a year. That means your chances of winning in any month is 5.6/12, which is slightly under 50%.
That ignores the higher-value prizes, which worsen the odds a little, though not by very much.
So let's say you could expect a prize nearly every other month.
I assume you realise you have a £1000 personal savings allowance? (which you don't pay tax on). There's little point saving into a cash ISA if you've not reached that limit. You can get around 2.7% on a 1 year fixed rate bond now. A little less if you want monthly interest. Currently just over £35k can be saved without paying tax, although that will reduce as interest rates rise.I probably could have got 1.5% on a 2 year fixed rate bond in 2020 which would have earned £150 pa in interest. Now my £10k is in an easy access account earning 1.32%, but I could stick it an 18 month fixed rate Cash ISA at 2.25% if I so desired.
However, interest rates are rising and look set to continue to rise for at least the next 6 months, and it's possible the base rate will increase to 2% 4th quarter or even higher.
How much do you need to win before the wife gets a few quid then?I won £25 this month, but the wife got nothing.
I assume you realise you have a £1000 personal savings allowance? (which you don't pay tax on). <snip>
According to @Carbon 60, every bond has a 1 in 24,500 chance of winning £25 every month. and I see no reason to doubt that, or check it. <snip>
Haha! She has her own, but we both just re-invest winnings anyway, so neither of us actually see any winnings so to speak.How much do you need to win before the wife gets a few quid then?
CorrectYou'd be right to say the more bonds you have the better your chances of winning, but the median winnings for £10k on the MSE Calculator show you could win £100 pa on average. So to look at this from another point of view, every month you have 10,000 bonds in the draw, a total of 120,000 bonds over 12 months, and out of those 120,000 bonds 4 of them (might if you have average luck) win a £25 prize.
Anyone know why it takes 2 months from buying Bonds for them to be included in the draws. Seems a bit of a swizz...
Just the rules. They become eligible for the draw one full calendar month after they are bought.Anyone know why it takes 2 months from buying Bonds for them to be included in the draws. Seems a bit of a swizz...
The rule is that you have to have owned them for one full calendar month before they are entered into the draw, so if you purchase on the last day of a month, then it's less time before you are up and running. Not sure why this is, but it's always been the same since I started buying them.
Thanks for that, I'll make sure I purchase them towards the end of the month from here on in. I invested £1k yesterday and am not in the draws until October, quite ridiculous really!
Only £25 this time, MrsD doesn’t have the App so waiting a few days for email to tell she’s won a million. (She’s one in a million by the way).
Only £25 this time, MrsD doesn’t have the App so waiting a few days for email to tell she’s won a million. (She’s one in a million by the way).