How to Withdraw Prize Bonds?
Bond Encashment
In Pakistan, prize bonds are a popular investment instrument offered by the government, providing the chance to win cash prizes through periodic lottery draws. If you have a prize bond and need to encash it, either for its face value or as a winning bond, here is a detailed guide to help you through the process.
1. Checking for Winning Bonds
The first step in encashing a prize bond is to determine whether your bond has won a prize. The results of the prize bond draws are published regularly. You can find these results in several places:
- Official Website: The National Savings Pakistan website provides up-to-date results for all prize bond draws.
- Newspapers: Winning numbers are also published in leading newspapers.
- SMS Service: The National Savings Directorate sometimes offers an SMS service to check prize bond numbers.
- National Savings Centers: You can also visit a National Savings Center or designated bank to check the results.
- SBP Banking Services Corporation (SBP-BSC) Offices: These are the primary centers for prize bond transactions.
- Designated Commercial Bank Branches: Many commercial banks in Pakistan are authorized to handle prize bond encashment.
2. Visiting a National Savings Center or State Bank of Pakistan
If your bond is a winner, the next step is to visit a National Savings Center, a branch of a commercial bank that is authorized to handle prize bond transactions, or the State Bank of Pakistan. It’s essential to go to an official and authorized location to ensure the legitimacy of the encashment process.
3. Filling Out the Claim Form
At the National Savings Center or bank, you will be required to complete a claim form. This form asks for your details and information about the prize bond. Ensure that you fill out the form accurately to avoid any delays or issues. In addition to the form, you will need to present your original Computerized National Identity Card (CNIC) for identification purposes at the eKYC counter.
Prize Bond Check Online
Prize Bond Tax Calculator
Premium Prize Bond Profit Calculator
National prize bond encashment form: Click here
Face value encashment form:
Claim/Clearly payable encashment form
Prize Money Application form
Premium prize bond encashment form: Click Here
Lost Premium Bond form – Click here
Download the Authority letter: click here
4. Submitting Your Bond and Documents
Submit the prize bond, along with the completed claim form and your CNIC to the designated officer at the center or bank. The staff will process the encashment or prize claim. If your bond has won a prize, the amount will be verified, and the prize will be disbursed according to the prize structure.
- National prize bond encashment form: Click here
- Face value encashment form
- Claim/Clearly payable encashment form
- Prize Money Application form
- Premium prize bond encashment form: Click here
- Lost Premium Bond form: Click here
- Download the Authority letter: Click here
5. Receiving Your Payment
For bonds that are not winning but are being redeemed for their face value, the process is generally straightforward. You can receive the face value directly from the National Savings Centers or authorized banks. For winning bonds, the prize money is paid after verifying the bond and completing the necessary formalities. The payment is typically made via direct bank transfer, depending on the procedure followed by the center or bank.
6. Tax Considerations
It’s important to be aware that tax deductions may apply to the prize amount. The tax rate can vary based on current tax regulations and the prize amount. Ensure you understand the tax implications and consult with a financial advisor if necessary. The tax is applicable only on prize money. The tax rate for filers is 15%, and the tax rate for nonfilers is 30%.
By following these steps, you can efficiently encash your prize bond in Pakistan. Always keep updated with any changes in procedures or regulations by checking with the National Savings Directorate or authorized banks.
7. Required Documents
To encash your prize bond, you’ll generally need the following documents: How to withdraw prize bonds?
- Original prize bond: The winning bond is essential.
- CNIC (Computerized National Identity Card): Your identity verification is crucial. Bring at least two photocopies of your national identity card.
- Application form: You might need to fill out an application form provided by the encashing agency.
- IBAN: Also, bring your International Bank Account Number, which is a 24-digit bank account number, and is available in your checkbook.
8. Encashment Process
The exact process might vary slightly depending on the encashing agency but generally involves these steps:
- Verification: Your identity and the authenticity of the prize bond will be verified.
- Form Filling: You might need to complete an application form with details of the bond and your account information.
- Prize Money Disbursement: The prize money will be credited to your bank account or paid in cash, depending on the amount and your preference.
9. Important Considerations
- Time Limit: There’s usually a time limit to claim your prize. You can claim your prize money within 6 years from the date of the draw. The second most important thing is that your prize bond issue date must be at least two months before the date of the draw.
- Charges: Some banks or agencies might charge a fee for encashing prize bonds, but the State Bank of Pakistan does not charge any fee.
- Large Prizes: For larger prizes, additional verification and procedures might be required.
- Damaged Bonds: If your prize bond is damaged, you might need to follow specific procedures for encashment.
Additional Tips for How to Withdraw Prize Bonds;
- Keep your prize bonds in a safe place.
- Check the draw results regularly. Click here
- Understand the terms and conditions of your prize bond.
For the most accurate and up-to-date information, it’s recommended to contact the State Bank of Pakistan (SBP) or your nearest commercial bank. They can provide you with specific details about the encashment process and any recent changes in regulations