For relatives who want to give a Christmas savings tradition, Premium Bonds are a great gift.

A poll shows that as many people as possible are considering buying cryptocurrency this Christmas as gifts.

The survey, by investment firm AJ Bell, revealed one in 50 of us plans to buy either NS&I Premium Bonds or cryptocurrencies such as Bitcoin.

Gamble: Cryptocurrencies such as Bitcoin are so risky that the value of a gift given on Christmas Day could be worth considerably less by the time the Queen¿s Speech is broadcast

Gamble: Cryptocurrencies such as Bitcoin are so risky that the value of a gift given on Christmas Day could be worth considerably less by the time the Queen’s Speech is broadcast

Yet the latter are so risky a gift given on Christmas Morning could be worth far less when the Queen’s Speech airs.

Premium Bonds are eligible for prizes that pay a 1 percent interest rate. Each bond gives a saver a shot at a £1 million prize every month, but winning is not guaranteed.

Bitcoin has increased in value since last year, turning £30 into £56 today. It fell to around 20% earlier in the month, after reaching its peak in November.

Laura Suter, from AJ Bell, says: ‘It’s a clash of the old and the new. Both involve a bit of a gamble, as the value of Bitcoin has been volatile and Premium Bond prizes aren’t guaranteed.

‘But Premium Bonds are guaranteed by the Government and you can’t lose your money. It’s the safest way of saving. Cryptocurrency is not guaranteed, and the value could fall to zero, meaning you lose it all.’

Kevin Brown, savings expert at mutual Scottish Friendly, adds: ‘The number of people gifting cryptocurrency may seem low, but in terms of how many people are invested in crypto this is the tip of the iceberg.’

According to the survey, cash is still the preferred gift choice with over half of respondents giving it this year.

Yet a growing number of parents are sending links to their children’s accounts via text, WhatsApp and email so relatives can pay in directly.

Illustrator Cathy Dafforn recently shared a link to her baby son’s tax-free Junior Isa (Jisa) with relatives. Cathy, 37, says: ‘Connor is only 14 months and has a room full of toys already. 

When my sister asked on the family WhatsApp group whether to buy him a present or send some money, I shared the link to his Jisa.’

Those who click on the link to the AJ Bell Jisa then enter Connor’s name and date of birth, plus their own details including name, address, email and card details to make the payment. Cathy’s father was the first to add funds for Connor’s first birthday.

Premium Bonds pay out prizes at an equivalent interest rate of 1%. Each bond gives a saver a shot at winning a £1m prize every month

Premium Bonds are equivalent to 1% in interest rates and pay prizes. Each bond gives a saver a shot at winning a £1m prize every month

She says: ‘It is as easy as online shopping, and relatives can pay in without asking for any details. As it’s a stocks-and-shares Jisa, the money should grow and when he is 18 he can do something useful with it. ’

Dani Kumrou, 35, has also sent links to her 11-year-old daughter’s GoHenry account via text to family. The pocket money app allows parents to create a ‘giftlink’ that can be shared with friends and family. This link will take you to a page where you can make secure payments.

Dani runs her own company in health and wellness, which she says is a family business.

She says: ‘I think the way we view money is changing. While it used to be all about the notes when I was younger, today’s children have apps. Ellie-Rose is at an age where she’s difficult to buy for. Sending money means she can buy what she likes.’

If you must send cash, make sure it is packed securely and can’t be seen from outside the envelope. It is best to avoid coins.

Royal Mail offers Special Delivery Guaranteed to send your mail. This guarantees you compensation in case of loss.

A 100 g letter guaranteed by 1pm the next day costs £6.85, or £6.75 online, and covers up to £500.

Although you could write a check, closing bank branches may make it difficult to transfer the money into your account.

Some banks allow you to take photos of your cheques through mobile apps, and then deposit them that way.

You can pay directly into someone’s account but you will need their account number and sort code.

A deposit can be made into a child’s Jisa by phone or via the provider’s website if you have their account number, name and date of birth. 

If you paid £20 into your baby’s stocks-and-shares Jisa every month from when they were born they would have £6,401 at 18, based on 4 per cent growth.

Premium Bonds can be entered in a monthly draw for around 3,000,000 prizes. For each £1 bond, the odds of winning anything are 34,500 to one.

Anyone can buy bonds for under-16s but you must let their parent or guardian know, as NS&I will contact them for proof of ID and address. 

Apply online at, by post, or call 0808 500 7007. The minimum investment is £25.

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