Are ISA's interest calculated daily?

kevtrader · 4 April 2005 at 3:02PM

I'm thinking of opening an ISA but it seems like the interest is calculated daily on HSBC and Halifax. Are all ISA's daily calculated as I'm hoping for a quick hit and run of possibly £50?

Thanks

carnet · 4 April 2005 at 4:12PM

Interest on cash ISA's is calculated, like all other savings accounts, on a daily basis ie. on the length of time the capital has been in the account.

If, for example, you open a cash ISA on 4 April and close it on 6 April you will be entitled to two days interest ie .0054794 of the yearly interest.

lipidicman · 4 April 2005 at 4:28PM

kevtrader wrote:

Are all ISA's daily calculated as I'm hoping for a quick hit and run of possibly £50?

...I've just seen a rainbow outside and I'm off to look for the pot of gold! I reckon my odds are better than yours!

kevtrader · 4 April 2005 at 5:15PM

Thanks for that!

That has given me another problem should I put the money in an Isa in July so to get 9 months worth of interest as the amount I was going to put in empties my account or wait if there is a good offer later in the tax year?

isasmurf · 4 April 2005 at 8:16PM

You can open one in July and transfer it to a better ISA later in the year. Although you must check the terms & conditions of the account. An increasing number of accounts are charging for transfers out and some have restrictions on transfers in.

lipidicman · 5 April 2005 at 10:43AM

Put whatever you can in now (TODAY!), as that will come out of this years allowance, but this only makes any sense if you can leave it there!

Are ISA's interest calculated daily?

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