Yes, if you live in Australia, you can buy more Premium Bonds. We can send the rewards to either address, but please keep in mind that they are only valid for three months and must be signed before being put into the bank.
Is it legal for me to own Premium Bonds if I live in Australia?
Yes. However, you’ll need a BACS-capable UK bank or building society account (or an NS&I Direct Saver or Investment Account). We add your interest to your account without subtracting any taxes.
Who is eligible to hold UK Premium Bonds?
Premium Bonds can be purchased by anyone who is 16 years old or older. On behalf of their kid or grandchild under the age of 16, parents, legal guardians, and (great) grandparents can invest.
No interest is paid on Premium Bonds. Instead, your Bonds will be entered into a monthly prize draw to win tax-free gifts.
Premium Bonds – the prize draw
Every month, almost two million awards are distributed to lucky Bond holders whose numbers are determined at random.
For every £1 you invest, you will receive a unique Bond number. Every month, each number has a separate and equal chance of winning a prize.
On the National Savings and Investment (NS&I) website, you may learn more, apply online, and check if you’ve won if you have Premium Bonds.
Is it possible to invest in UK funds while living abroad?
We normally advise against investing in the markets (whether it’s shares, ETFs, or bonds) in the short term, with a minimum of 5 years.
5 years is a short time in the investment world, and if you need those funds in less than 5 years, investing in the markets is probably not the best option for you. You want to spend over a long period of time so that you know exactly what you’re getting.
You are true that you must be a UK resident to apply for an ISA. There are no residency limitations with a General Investment Account/unit trust (though this will be dependent on the platform you choose).
You would be taxed in the UK if you went onshore with a UK unit trust. This unit trust would pay either dividends or interest, both of which would be taxed in the United Kingdom. If you pay basic rate tax, you get a £2,000 dividend tax-free allowance, as well as a £1000 personal savings tax-free exemption.
Most robo advisers and DIY platforms will include risk questionnaires that you can fill out, and they will be able to recommend various portfolios/funds based on your answers.
However, over the next five years, I wouldn’t recommend investing in the markets; instead, consider putting your money in a fixed cash account with guaranteed interest.
If you do decide to invest, you must face the possibility that your capital will drop if you take a moderate amount of risk.
Is it still possible to buy UK Premium Bonds?
Is it still possible to use my old Premium Bonds? Yes. Your Bonds are still valid and will be included into our monthly prize draws as long as you haven’t cashed them in.
Is it possible to purchase Premium Bonds for grandchildren who live in Australia?
Premium Bonds for children under the age of 16 can be purchased by anyone. It’s acceptable if the youngster already has some Premium Bonds; they can hold up to £50,000 worth.
If you are not the child’s parent or guardian, you must notify them before purchasing Premium Bonds, since we will contact them directly for things like giving proof of identity and address.
- Please double-check that the parent/guardian is willing to take after the child’s investment and that you have their permission to give us their information.
- We’ll verify everyone on your application’s identity and address, and we may need to request documentation to prove it.
- Please inform the parent/guardian that we may contact them to request proof of identity documentation.
We’ve put up a quick guide on how to top up a child’s funds, whether you’re a parent, grandparent, or family friend:
Can my Premium Bonds be stolen?
Maintaining the security of your account. We promise that your money is safe when you save with us online. We’ll compensate you in the uncommon event that money is fraudulently taken from your NS&I accounts or investments by someone else.
Is there anyone who has ever won a million dollars playing Premium Bonds?
Two Premium Bonds holders from South Gloucestershire and Surrey have won the £1 million jackpot in the October 2021 prize draw, bringing them a great summer windfall.
A woman from South Gloucestershire, who owns £49,994 in Premium Bonds, purchased the first winning bond, 433SN401366, in January 2021.
How can I purchase UK government bonds starting in 2021?
Investing may be a risky business, and how you choose to invest will be determined by your risk appetite. Government bonds are generally thought to be a safer investment than stock market or business bond investments. UK government bonds, often known as gilts, can be purchased through UK stockbrokers, fund supermarkets, or the government’s Debt Management Office. Bonds are fixed-interest instruments designed to pay a consistent income that governments sell to raise funds.
How much Premium Bonds can you have in your account?
Premium Bonds can be purchased for as low as £25 and can be held for up to £50,000. You’ll get 50,000 entries into the monthly prize draw if you do this.
- Every £1 you deposit is assigned a unique number, which is then entered into a computer known as Ernie (Electronic Random Number Indicator Equipment) to determine the winners.
- Go to the Premium Bonds prize checker webpage to see if you have won.
- You forego a regular interest rate on your savings in exchange for the possibility to win up to £1 million, which means your money won’t grow while it’s invested there’s also a chance you’ll win nothing.
While you have a chance to win large, your funds aren’t safe from inflation’s ravaging influence. If you win one of the larger prizes, be sure to read our article on how to invest $10,000.
What happens to my investments in the United Kingdom if I relocate?
If you open an Individual Savings Account (ISA) in the UK and then relocate abroad, you won’t be able to deposit funds into it until the following tax year (unless you’re a Crown employee working abroad or their spouse or civil partner). As soon as you cease to be a UK resident, you must notify your ISA provider.