- There will be fewer Prize Bonds millionaires after a decision to reduce the number of top prizes. The move is part of a wide-ranging slashing of the interest rates on State savings schemes, many of which are tax free.
- From next month there will only be €1m prices paid out four times a year for those who have Prize Bonds. This is down from six top prizes a year. As recently as 2013, there was a €1m draw every month.
- And a range of interest rates on State savings schemes, sold by An Post, have been radically reduced. It is the fifth time in four years that the rates and Prize Fund pay-outs have been chopped.
- The move narrows the options for savers at a time when banks are continually cutting deposit rates, with many paying little or nothing.
- The National Treasury Management Agency (NTMA), which controls the Prize Bonds and State Savings scheme, announced the slashing of savings rates and the reduction in the size of the fund that pays out on Prize Bonds on Bank Holiday Sunday.
- “The new issues and interest rates reflect changes across the retail savings market and the fall in the cost of borrowing by the State”, a spokeswoman said. “However, the changes also maintain the balance of remaining competitive and providing good value for the holders of State Savings products. All State Savings money is placed directly with the Government and repayment is a direct unconditional obligation of the Government.”
- From July there will be a €1m Prize Fund paid out four times a year - in March, June, September and December. From next month, there will also a weekly prize of €50,000, 10 prizes weekly of €1,000, and 10 of €500. The rest of the prize fund will be made up of €50 prizes.
- Just 0.85pc of the amount of money put into Prize Funds will now be paid out. Currently, it is 1.25pc of the fund.
Lunchtime
Is It Time To Put The Prize Bonds Out Of Business?
There will be fewer Prize Bonds millionaires after a decision to reduce the number of top prizes. T...
TodayFM
5:09 PM - 8 Jun 2016
Lunchtime
Is It Time To Put The Prize Bonds Out Of Business?
TodayFM
5:09 PM - 8 Jun 2016
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