Key takeaways
Premium bonds can be cashed in at any time -- there is no fixed term, no notice period and no penalty for encashment.
The fastest route is online via nsandi.com or the NS&I app, where encashment requests typically process within 3 to 5 working days.
You can cash in all bonds or a partial amount -- the minimum partial encashment is 25 pounds, and remaining bonds must meet the 25 pound minimum holding.
When bonds are cashed in, any outstanding prizes are paid alongside the capital. Unclaimed prizes from previous draws are not lost -- they remain payable.
On the death of a bond holder, premium bonds can be retained in the draw for up to 12 months or cashed in by the executor.
Reviewed: June 2026Key facts
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How to cash in premium bonds online
The quickest way to cash in premium bonds is via nsandi.com. Log in to your NS&I online account, navigate to your premium bonds and select the encashment option. You can choose to cash in all bonds or a specified amount. NS&I will transfer the funds to your registered bank account within 3 to 5 working days.
If you do not have an NS&I online account, you can register at nsandi.com using your holder number and personal details. Online registration is required to use the online encashment process.
Cashing in via the NS&I app
The NS&I app for iOS and Android provides the same encashment functionality as the website. If you are registered for NS&I online, use the same login credentials in the app. The encashment process is the same as online and processing times are identical.
Cashing in by phone
NS&I customer services on 08085 007 007 can process encashment requests over the phone. You will need your holder number and personal details for identity verification. Phone encashments are processed to your registered bank account. Lines are open Monday to Friday 8am to 6pm and Saturday 8am to 6pm.
Cashing in by post
NS&I accepts postal encashment requests. You can download the encashment form from nsandi.com or request one by phone. Postal requests take longer to process than online or phone encashments. NS&I will send a cheque to your registered address or transfer to a bank account if details are provided.
Partial encashment
You can cash in part of your premium bonds holding rather than the full amount. The minimum partial encashment is 25 pounds and the remaining holding must also be at least 25 pounds after the withdrawal. Bonds below the minimum threshold cannot be retained.
When making a partial encashment, NS&I selects which bond numbers to cash in. You cannot specify individual bond numbers to encash.
What happens to prizes when you cash in
Any prizes won in draws that have already taken place are paid alongside the capital on encashment. NS&I checks for outstanding prizes at the time of processing and includes them in the payment. You do not lose prizes by cashing in bonds -- unclaimed prizes from previous draws are added to the encashment proceeds.
Cashing in premium bonds after a death
When a premium bond holder dies, their bonds can remain in the monthly draw for up to 12 months from the date of death, or until the bonds are cashed in by the executor, whichever comes first. Any prizes won during this period belong to the estate.
The executor of the estate should notify NS&I of the death and provide a death certificate. NS&I will advise on the encashment process depending on the value of the estate and whether probate is required. For estates below a certain value, NS&I may be able to release funds without formal probate.
Related guides
Disclaimer: This guide is for informational purposes only. Kael Tripton Ltd is not regulated by the FCA and does not provide regulated financial advice. Premium bonds are provided by NS&I, a government-backed savings institution. Always verify current prize rates and terms directly at nsandi.com before making savings decisions.
Frequently asked questions
How long does it take to cash in premium bonds?
Online and app encashment requests are typically processed within 3 to 5 working days. Phone requests take a similar time. Postal requests take longer. NS&I transfers funds to a registered bank account or sends a cheque depending on how the account is set up.
Can I cash in some of my premium bonds and keep the rest?
Yes. You can make a partial encashment -- the minimum withdrawal is 25 pounds and your remaining holding must also be at least 25 pounds. NS&I selects which bond numbers to encash; you cannot specify individual bonds.
Is there a penalty for cashing in premium bonds early?
No. Premium bonds have no fixed term and no early encashment penalty. You can cash them in at any time and receive the full original investment back. Bonds held for less than a full month after purchase will not have been entered into a draw yet, but the capital is returned in full regardless.
What happens to unclaimed prizes when I cash in my bonds?
NS&I checks for outstanding prizes at the time of processing an encashment. Any unclaimed prizes from previous draws are added to the encashment amount and paid alongside the capital. You do not forfeit prizes by cashing in bonds.
How do I cash in premium bonds for a deceased person?
The executor of the estate should contact NS&I on 08085 007 007 or in writing to notify them of the death. NS&I will advise on the documentation required -- typically a death certificate and, depending on estate value, a grant of probate. Bonds can remain in the draw for up to 12 months after death while the estate is being administered.
Do premium bonds earn interest while I wait for them to be cashed in?
No. Premium bonds do not earn interest. They enter the monthly prize draw and may or may not win prizes. Bonds submitted for encashment are removed from the next eligible draw. Any prizes won in draws before the encashment is processed are included in the payment.
