National Savings & Investments (NS&I)
National Savings & Investments (NS&I) is a state-owned savings bank in the UK. It is one of the largest savings organisations in the country and is backed by HM Treasury.NS&I offers a range of savings and investment products to the public. The key feature of NS&I is that all money invested is 100% secure, as it is guaranteed by the government.
Common NS&I Products
- Premium Bonds: This is the most popular product. Instead of paying interest, NS&I runs a monthly prize draw where bondholders can win tax-free prizes ranging from £25 to £1 million.
- Direct ISA: A cash ISA where all interest earned is tax-free.
- Investment Guarantor Bonds and Index-linked Savings Certificates: While not always on sale, these products offer guaranteed returns, sometimes with tax-free benefits.
Tax Treatment
The tax treatment varies by product. Interest from some products is taxable and must be declared, while prizes from Premium Bonds and interest from ISAs are always tax-free.
NS&I offers a range of savings and investment products to the public. The key feature of NS&I is that all money invested is 100% secure, as it is guaranteed by the government.
Common NS&I Products
- Premium Bonds: This is the most popular product. Instead of paying interest, NS&I runs a monthly prize draw where bondholders can win tax-free prizes ranging from £25 to £1 million.
- Direct ISA: A cash ISA where all interest earned is tax-free.
- Investment Guarantor Bonds and Index-linked Savings Certificates: While not always on sale, these products offer guaranteed returns, sometimes with tax-free benefits.
Tax Treatment
The tax treatment varies by product. Interest from some products is taxable and must be declared, while prizes from Premium Bonds and interest from ISAs are always tax-free.