Interest payment on cash ISA

brownbabygirl

Hi this is my first ever post!

I have a naive question so please bear with me. So the tax year runs from April to April. If lets say I put in my 3000GBP in the ISA account only mid March does that mean I will only get interest for the length of time the money was in the account or the full interest as if the money has been in the whole year? Hope this makes sense

jem16

You will only get interest for the length of time the money is in your account.

Welcome to the forums by the way.

brownbabygirl

thanks a lot jem!:T

Aegis

brownbabygirl wrote: »

Hi this is my first ever post!

I have a naive question so please bear with me. So the tax year runs from April to April. If lets say I put in my 3000GBP in the ISA account only mid March does that mean I will only get interest for the length of time the money was in the account or the full interest as if the money has been in the whole year? Hope this makes sense

Interest is generally accrued in the background for you on a daily basis. As such, in a 365 day year, you will earn 1/365 of the AER daily (assuming they don't compound daily, which would just mess this nice simple calculation up!), so you are paid fairly for the time you save with the ISA provider.