Key Facts

• Premium bonds are a type of savings product where instead of interest, bondholders enter a monthly prize draw for tax-free prizes.
• The article looks at whether these bonds still offer good value for money.
• Investors do not earn regular interest, only the chance to win prizes.
• No capital is lost with premium bonds, meaning the original amount invested stays safe.
• The prize winnings are tax-free, which can be a benefit for some savers.
• The discussion is timely because other saving options and interest rates have changed recently.
• The article is part of a larger discussion on managing personal finances wisely.