NS&I explains Premium Bonds rules after reports of delays for July prizes | Personal Finance | Finance
NS&I has issued an update after a customer said their Premium Bonds prize for the July draw had still not arrived.
The person posted on social media on July 15, saying: “I won £50 on the Premium Bonds this month, so far nothing has been paid to me.
“Originally I had asked to be paid into bank account then I changed to re-invest in premium bonds. However none of these have occurred so far.”
The prize draw takes place at the start of the month. Guidance on the NS&I website states that prizes are typically paid by the seventh working day of the month, if you opt for them to be paid into your bank account.
NS&I was asked for a comment about why there may have been a delay in the person getting their prize. A spokesperson said: “Premium Bonds customers can choose to receive their prizes in several different ways.
“This includes being paid directly into their nominated bank account or automatically reinvested into more Premium Bonds. It maybe that on this occasion the person had changed their preference to auto reinvestment after their prize had been drawn.”
You can check if you have any prizes to collect using the prize checker tool on the NS&I website. You can change your preferences for how you receive your prizes by logging into your online account.
Any changes you make will come into effect from the next prize draw. Most savers choose to have their prizes paid directly to their bank account or reinvested into buying more Premium Bonds, so increasing their chances of winning again.
If you choose for your prize funds to be used to buy more Bonds, these will be eligible to go into the next prize draw. You can hold up to £50,000 in Premium Bonds.
If you choose for your prizes to be reinvested and this takes you over the holding limit, NS&I will reinvest the amount up to the limit and then send you a payment for the rest of the amount.
An important change to Premium Bonds is coming up from next month’s draw, as the prize fund rate is dropping again.
The rate will fall from the current 3.8 percent down to 3.6 percent from the August draw, after it previously fell in April and in January this year.
When NS&I announced the change, retail director Andrew Westhead said it was needed to reflect “the changing landscape for savings”.
He said: “Premium Bonds maintain their unique appeal by offering complete security backed by HM Treasury, the flexibility to withdraw easily, and the excitement of potentially winning a tax-free prize each month.
“The August draw is expected to deliver more than 6 million tax-free prizes worth over £396million.”
