Martin Lewis has issued a warning over Premium Bonds as he laid out the probability of winning money through the savings accounts on his ITV show.
The most popular type of savings account in the UK, Premium Bonds work by determining how much interest you receive on the savings in your account via a monthly prize draw, with the amount you can win ranging from £25 to £1 million each month. The life-changing prize amounts make Premium Bonds a popular choice, with 21 million people in the UK using them - but Martin explained that anyone looking to set up a savings account should not necessarily be lured in by the big numbers.
During the latest episode of The Martin Lewis Money Show, the MoneySavingExpert founder explained the probability of winning in the monthly prize draw. "The prize fund rate is currently 2.2% - what that means is for every £100 that's in Premium Bonds, it will pay out £2.20," he said.
