Interest during isa transfer

Doubleshotdamo

Does anyone know if interest is paid during the transfer period, be it by the account transferring from or the one transferring to? 

mebu60

Interest is paid by the 'from' up until it is transferred, so the day before. If the transfer is electronic it is likely to be same day. On occasion when it's not appeared until the next day in the 'to' account I've been credited as the previous day. Unless it's sent by cheque in snail mail I don't see there's likely to be any delay. 

eskbanker

Industry guidance (recommended but not prescriptive) is that interest should be dovetailed, so that it's paid by the receiving provider from the day after the money leaves the ceding one, with no gap:

For cheque payments, interest on the transferred funds should be backdated either to the date on the cheque, inclusive, or to the date which represents ‘day 16’ of the transfer process, inclusive – whichever is earlier.

For electronic payments (including those through the BACS electronic system), interest on the transferred funds should be backdated either to the date the payment was initiated, inclusive, or to the date which represents ‘day 16’ of the transfer process, inclusive – whichever is earlier. 

https://www.tisa.uk.com/wp-content/uploads/2023/03/Cash-to-Cash-ISA-Transfer-Industry-Guidelines.pdf