In Pakistan, National Prize Bond Scheme was started in 1960 to borrow money from people and reward them with cash prizes based on lucky draws. This system helps the Government of Pakistan borrow billions of rupees from the public, but the investors don’t earn much in return. Let’s find out more.
What is a Prize Bond?
It is a type of lottery bond. The National Savings Pakistan offers them. This is a sort of bearer investment that gives no profit or premium. You can get these bonds in different denominations.
In Pakistan, you can find them in many denominations that range between 100 and 40,000. For more information, you can check a prize bond list.
The Prize Bond Schedule
The lucky draws are held every 15 days, usually on 1st business day of a month. Aside from this, each lucky denomination draw is organized quarterly.
Claiming the Prize
If you want to claim the prize money, you have to fill in the form and submit it with your valid CNIC, the original prize bond signed by you, and the photocopy of the prize bond signed by you.
The Maximum Prize
The highest prize money is 80,000,000 rupees on the 40,000 rupees Premium prize bond. The second-largest prize money is 75,000,000 rupees, which is offered against a regular 40,000 rupees bond. And these draws are organized quarterly.
Who Can Buy these Bonds?
Whether you live inside or outside Pakistan, you can purchase these bonds from any registered dealer or scheduled bank.
You can’t buy these bonds online. You can buy them at a local bank, State Bank Offices, or National Savings.
Although there are a lot of guess papers online, they are of no use. There is no formula to find out which bond will be the winning one. It all depends upon your luck as the system is lottery-based.
Once you have purchased a bond, it will remain valid as long as the scheme is valid. In other words, there is no age limit or expiry date of these bonds.
Claiming the Prize
Once the draw has been held, you have a period of 6 years to claim your prize.
Tax on the Amount won
For non-filers, the tax ratio is 25% of the winning amount, and for filers, the ratio is 15%.
You can visit State Bank offices, National Savings, or a local bank to buy prize bonds in Pakistan.
Refund or Exchange
You can’t avail of any refund or exchange policy once you have bought the bonds. Once you lose your bonds, you will have to suffer the loss. Since these are bearer type of bonds, the prize money will be given to the one who has the bond. Therefore, you may want to keep your bonds in a safe place.
So, this was a brief introduction to the bonds offered by the government of Pakistan. If you have bought these bonds, you can check a prize bond list to find out if you have won any prize money.