Prize Bond

A Prize Bond is a lottery bond, a non-interest bearing security issued on behalf of the Irish Minister for Finance by the Prize Bond Company Limited. Funds raised are used to offset government borrowing and are refundable to the bond owner on demand. Interest is returned to bond owners via prizes which are distributed by means of random selection of bonds. Prize Bonds are also offered in Pakistan, by the Ministry of Finance, and in the UK, under the name Premium Bonds.