THE NATIONAL PRIZE bond fund has reached record levels of over €3.4 billion, according to an annual report for 2018.

The Prize Bond Company DAC, which administers the bond on behalf of the National Treasury Management Agency (NTMA) marked 30 years since it was first established last year.

The fund is designed for consumers to purchase prize bonds, similar to an investment but instead of earning interest on their investment, they are placed into a weekly draw to win cash prizes.

Each draw offers a chance to win cash prizes up to €50,000, with two draws held each year with a top prize of €1 million – similar to the National Lottery, all cash prizes are tax-free.

In 2018, gross sales reached €574 million and pushed the total value of the fund up to €3.4 billion.

The prize bonds can be cashed in at any stage with seven days’ notice, and in 2018, repayments of prize bonds totalled €328 million.

The number of prizes awarded, however, dropped last year with 224,474 people winning a prize in the draws, down from the 302,0674 in 2017.

Traditionally, the bonds were sold at local post offices across the country, and while more than half are still purchased in person, some 8% of sales are now completed online.

John Daly, chair of the Prize Bond Company said: “Gross sales of €574 million and an 8.0% increase in the value of the fund to more than €3.4 billion has made 2018 a record year for the scheme.

“Being able to service Prize Bonds customers’ needs across a variety of channels, including the Post Office network, remains a key focus for the company in the year ahead.”

The price of prize bonds are set at €25 for four bonds and the maximum amount that can be purchased by an individual is set at €250,000.