Independent Financial Life Planners Bishop's Stortford: Where to Save?

Monday, 20 February 2017

Where to Save?

Enable’s IFAs know that the pain for savers appears to be never-ending. Recent figures from the Bank of England show that the rates for your average instant-access accounts have fallen to 0.15pc, so it’s hardly surprising that NS&I have also cut their rates including Premium Bonds.

But despite premium bonds prize money being cut from May 2017 from the rate for someone with average luck falling from 1.25pc to 1.15pc it still remain one of Britain's most popular savings vehicles, in which £66.7bn is invested. The complex way in which monthly prizes are distributed, with two £1m jackpots per month, and more than 2m £25 prizes paid, it means the odds of winning with any £1 bond are tricky to calculate but in total, 2,224,513 prizes of all values are currently paid per month. Dropping only slightly to 2,219,493 this May making the odds of any £1 bond winning any prize of any value will remain roughly one in 30,000.

The biggest falls in the number of prizes apply to the £25,000, £10,000 and £5,000 bands. The very smallest prizes of £25 increase from 2.1m to 2.2m. But security is the main draw of NS&I, and the main benefit of Premium Bonds, all the money invested in NS&I is 100pc protected by the Government, and bonds can be cashed at any time. However, many cite the chance to win big is what draws savers into Premium Bonds specifically but there's really is no guarantee, it’s a lottery you could win nothing at all and inflation could be eroding your cash. It's probably best to think of them as a flutter rather than aa savings account. But if you want some help finding better returns Enable’s IFAs are happy help you look at your options.

http://www.telegraph.co.uk/personal-banking/savings/premium-bond-prize-cuts-may-2017-odds-winning/

Issued by: Enable Independent Financial Life Planners •  25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339 Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority. It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us. NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

No comments:

Post a Comment

IFA Bishop's Stortford

At Enable Independent we know that our clients trust us and rely on our advice to help them to plan a better, more secure financial future. This is a responsibility that we take very seriously especially because we know that many clients have chosen us on the recommendation of friends and family. Each one of our advisers has deep expertise in their area of specialist knowledge and, as a team, we hold some of the highest qualifications available in the financial advice industry.

Our job satisfaction comes from using our skills to find workable, affordable and flexible solutions to meet our clients needs. Whether we are planning for known future funding requirements such as house purchase, school fees or income in retirement - or for the unforeseen such as job loss, long-term illness or early death, our independence from any product provider enables us to view the marketplace impartially. Our training permits us to look beyond a product's marketing hype and select on the basis of its fitness for purpose.