Premium Bonds - If you post to say how much you've won, please also say how much you have invested.

I took 20k out of mine and dumped it into a fixed rate ISA. I was going to put into a fixed rate savings account but then realised if I put into an ISA now next year I can add to the current 20k in a new ISA (fingers crossed interest rates stay where they are) and that'll give nice guaranteed returns. I have no doubt lowered my chances of winning the million now but hey ho. I might win it with the 19k that remains in my Bonds.
 
Gixer said:
I took 20k out of mine and dumped it into a fixed rate ISA. I was going to put into a fixed rate savings account but then realised if I put into an ISA now next year I can add to the current 20k in a new ISA (fingers crossed interest rates stay where they are) and that'll give nice guaranteed returns. I have no doubt lowered my chances of winning the million now but hey ho. I might win it with the 19k that remains in my Bonds.
Click to expand...


Just as an example, looking at money saving expert,

if i for instance you fill an ISA, example below,

5.78% of 20000 = 1156 - does this mean that i will get 1156 of interest if say someone dumped £20000 in there? so 1156 split over 12 months ? £96 monthly ? as an ISA is tax free i shouldnt be taxed ? also, is there any accounts which will let you save more than the £20k limit ? or no penalties to withdraw

**edit apologies i thought i was posting this in the best savings account thread.



ProviderRate – AER (min deposit)Transfer in allowed?Penalty to withdrawHow to openWhen can I access interest?
Shawbrook Bank5.78%

(min £1,000)		Yes, at application90 days' interestOnlineMonthly or at maturity
 
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DJMK4 said:
Just as an example, looking at money saving expert,

if i for instance you fill an ISA, example below,

5.78% of 20000 = 1156 - does this mean that i will get 1156 of interest if say someone dumped £20000 in there? so 1156 split over 12 months ? £96 monthly ? as an ISA is tax free i shouldnt be taxed ? also, is there any accounts which will let you save more than the £20k limit ? or no penalties to withdraw

**edit apologies i thought i was posting this in the best savings account thread.



ProviderRate – AER (min deposit)Transfer in allowed?Penalty to withdrawHow to openWhen can I access interest?
Shawbrook Bank5.78%

(min £1,000)		Yes, at application90 days' interestOnlineMonthly or at maturity
Click to expand...

What you have put is basically correct yes.
ISA is a tax free wrapper. It means its by default protective of anything inside.
You are only allowed to put a maximum of £20k into an ISA (or combination of the three types) per year. per year, means per tax year.
Everything inside the ISA wrapper remains tax free, so the interest remains tax free the following year, hence the compounding us tax free.

Its why it still makes sense for many to still put money into ISAs even when the interest rate could be lower than outside.

I mentioned the showbrook one in the other thread, this one is penalty on withdrawl. There is one with slightly worse rate thats variable and no penalty. It depends if you may need the money as to which makes more sense.

As long as your money remains in an ISA you can switch from provider to provider and product to product (dont withdraw you need to transfer). Any rules in regards this are provider dependent.
Also look for flexible or not. If flexible you can withdraw and put back in the same year. If not, if you withdraw you cannot put that money back in. The normal £20k applies still however.
 
I've put my first tranche into Premium bonds.
Decided this was worth a punt vs an easy access savings account.
Put the money in (and it's cleared) on the 31st. So should be in the October draw.
 
100k (me and wife). At that value you get regular wins that roughly equal the % expected. Last year we did better, this year so far, just behind. Vanguard isas doing 2x better on average....
 
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