€25k invested in prize bonds

No Joy.
Weeks since last win: 8

niallers1 wrote: »

that's less than 0.5% return.
you could be getting 7% return. That's over 9k per year. You've "won" €550 in almost two years. That is a poor return on your money.

Agreed that there are better options. However I want to have easy access to the fund; interest rates in the bank are poor; so prize bonds provide a better rate of return (taking into account DIRT etc.), with a very slim chance of winning a bigger prize than the usual €50 every few months!

joeysoap wrote: »

Your doing much better than I am. I purchased €25k initially, increased it by increments to 100k by end of January. Not one win.

First win €50 today.

pbwinner wrote: »

Hiya,
Thought I'd update this thread on the success (or not) of €25k (yes, €25,000) I invested in PBs since February.

Purpose of this thread is to give some indication of the success rate of PBs for the ordinary punter as I assume €25k is large amount to invest in one go.

Planning to keep it in there for a year or so.

Winnings to date: €25

Just got a letter today >>>>>>>>> €50 winnings on my latest monthly purchase of €500 (80 units ) this is my second win of €50 since start of year I am hoping to keep it going for @ 12 months and exchange them .

donkeykong5 wrote: »

Her husband died. Had to send copy of her husbands will and copy of his death certificate which cost 20 euro plus registered post which was 8 euro. I have showed her the posts on the forum

I could stand corrected on this but if they were joint holders it would have simpler. Other side is if a joint bond wins they will only put the prize money into a joint account. ( or reinvest)

They also will make out a cheque in both holders name which in theory anyway you have to lodge to a joint account .

joeysoap wrote: »

First win €50 today.

€50 today. Nothing for 14 weeks, two in a row now.

mrcheez wrote: »

Just curious on this.

€134,000 has netted €600 is that right?

Equivalent to 0.0044% interest on 134K.

Is it not better to put it into a 1% interest savings account (or higher if you can find it) as even after tax it would have netted more?

Hi MrCheez!

I just did a few quick calculations based on current interest rates, and likely DIRT rate in 2020 (33%). Note that in 2017 when I invested, DIRT was at 39%, which does make a difference when it comes to smaller margins.

I've held prize bonds for almost 2 years and won €550; based on averages so far, let's assume I win another €50 before the end of June, which would equate to €600 on €134k invested. For ease of comparison, assume this split evenly between year 1 and year 2; therefore €300 in year 1 is equivalent to a net interest rate of 0.22%; €600 in year 2 is equivalent to a net interest rate of 0.45%.

Unfortunately bank interest rates aren't at 1% - especially after paying DIRT. I just did a very quick scan on current interest rates - note this wasn't an exhaustive search so it's purely for illustrative purposes:

- Best instant access: Ulster Bank @ 0.1% gross (net 0.07% after DIRT) which works out at circa €90 (after DIRT) per annum

- Best fixed 12 month: PTSB @ 0.5% gross (net 0.34% after DIRT) which works out at circa €449 (after DIRT) after 12 months

So I could get slightly more for 12 months (and longer); but I want to have fairly easy access to the €134k, which fixed accounts don't allow. Prize Bonds can be redeemed in a week or two (as mentioned elsewhere).

Based on current winnings, Prize Bonds have provided a slightly better rate than most banks, with the added benefit of having more flexibility to withdraw when needed.

I may re-look at them in light of new DIRT rate from 2020 and depending on interest rates.

Hope this helps explain!

Winnings on 3rd May 2019: €0
Last win: 1st March 2019: €50
Weeks since last win: 9
€134k invested in prize bonds since July 2017
Win ratio: 11 wins in 96 weeks (11%)
2017 (Jul-Dec): 5 x €50 = €250
2018 (Jan-Dec): 4 x €50 = €200
2019 (Jan-date): 2 x €50 = €100

Thank you PB2018 for those interesting details. Are you 'twice around the daffodils', of is that my over-vivid imagination? You considered since mid-2017 that it was as good enough on option as any/or it just suits you better for the time being? Either way, I suppose you have the chance of something bigger, and best of luck with that! Thanks again for your time.

€50 today

My first win since my €50 in August 2018 (On €8,500).

Hibernicis wrote: »

donkeykong5 wrote: »

Her husband died. Had to send copy of her husbands will and copy of his death certificate which cost 20 euro plus registered post which was 8 euro. I have showed her the posts on the forum

Why is this disgraceful ? It is exactly as set out here:

https://www.statesavings.ie/help-support/help-articles/initiate-deceased-case

Poor woman has to get yet another form signed as theres another prize bond worth £5.00 old money. Registered post costs €8.00 .

donkeykong5 wrote: »

Poor woman has to get yet another form signed as theres another prize bond worth £5.00 old money. Registered post costs €8.00 .

In this case use ordinary post.if it gets lost it gets lost. Or ignore the bond.