How do ISA accounts work?

foxblade

ok, one more question and this might be a very daft one!

Does it matter when you deposit the money into the isa if they calculate the interest yearly?

What I mean is do I gain more by placing the entire lumpsum into the account on the 2nd of April or can it go in drips during the year or a lumpsum on the 30th March?

Thanks,

Joe_Bloggs

In my experience cash ISAs calculate interest daily. So you get more interest the longer the money is in the account.
A particular ISA may only credit the interest once a year. Thus it only appears that you are not earning interest apart from the day it is credited. Some ISAs award interest daily and credit interest monthly so you can see the amount building up.
J_B.

foxblade

Thanks thats just what I needed :j