are isa which pay interest monthly better than those which pay it annually?

homersimpson_3

bradford & bingley offer isa which pays monthly interest. what other ones do this? do any of them give a book?
is is better i put my money into isa which pays monthly rather than annual interest because then you have effect of compound interest (ie i get more because interest is being paid on interest). is there a calculator for comparing monthly and annual interest isas?
thanks

YorkshireBoy

homersimpson wrote:

bradford & bingley offer isa which pays monthly interest. what other ones do this?

Have a look at a comparison site such as https://www.moneyfacts.co.uk or https://www.moneysupermarket.com

homersimpson wrote:

do any of them give a book?

Yes, but online accounts tend to give better rates.

homersimpson wrote:

is is better i put my money into isa which pays monthly rather than annual interest because then you have effect of compound interest (ie i get more because interest is being paid on interest).

It generally doesn't matter as the rates quoted take the method of paying interest into account. ie the monthly paying account will have a lower 'gross pa' figure.

homersimpson wrote:

is there a calculator for comparing monthly and annual interest isas?

Yes, its called the 'AER', and all providers must quote it.