A reader, identified only as C.H. from Middlesbrough, received a £25 Premium Bond prize in March, which was deposited directly into their bank account. However, the bond number associated with the prize did not belong to the recipient, and the prize was described as a 'move up prize'.
Inquiries with National Savings & Investments (NS&I) led to a response that was not fully understood by the reader, and a promised follow-up phone call was not received.
NS&I explained that the prize had been 'reallocated.' This occurs when a prize is initially won by a customer who is later found to be ineligible to receive the winnings. NS&I maintains records of Premium Bond holdings for at least seven years, allowing for the reallocation of prizes that are later deemed invalid. Reasons for ineligibility can include the death of a bondholder without NS&I being informed, or if the winner is found to hold more than the maximum permitted £50,000 in their account. This latter situation can arise when separate accounts are merged.
When a prize is reallocated, the original prize is cancelled. NS&I stated that this typically happens when the original prize has gone unclaimed. If a prize has already been cashed, NS&I would initiate a payment recall. In cases where a prize is reallocated, a new bond number is selected to receive the prize, often from a list of reserve winners chosen at the time of the draw.
Although the recipient's current bond numbers did not match the winning number, NS&I clarified that current bondholders who previously held bonds that were on a reserve list are still eligible for a 'move up' prize. This suggests the prize may be linked to a bond the reader had cashed in within the past few years, as they have a history of buying and selling Premium Bonds.
NS&I indicated that the winning draw may have occurred several years ago, with the original winner's ineligibility only recently discovered. Despite the reader's lingering doubts, NS&I maintains that the prize is rightfully theirs.