Skipton BS: Cash ISA Interest Capitalisation

masonic

Possibly they had some people working on Saturday, as some Building Societies open in some capacity on Saturdays, whereas they'd be closed today. Tomorrow is a working day, so should be unaffected.

Section62

https://forums.moneysavingexpert.com/discussion/6662898/skipton-bs-cash-isa-interest-capitalisation

I have two cash ISAs with Skipton BS. The first was a 30-month F/R bond opened on 8 April 2024. Interest capitalised on 7April 2025. I had assumed that it would capitalise again tomorrow until I looked at my other Skipton ISA.

The second ISA was opened on 7 April 2025 and the interest capitalised on 4 April… Saturday!

You don't say what term the second ISA has, but these dates make sense to me.

The current 30 month T&C's say interest will be added "the day before the anniversary of account opening and the day before the end of the fixed term".

This is "day ", not "banking day" or "working day".

Your first account's anniversary is 8th April, so interest is due on the 7th - tomorrow, which is a normal 'working day'. They can pay the interest tomorrow and comply with their own T&C's.

The second account's anniversary is 7th April, so interest is due on the 6th - today, which is a bank holiday. To comply with their T&C's they would need to arrange for the payment to be made by today, which even if the process is fully automated could be risky if no staff are working and ready to deal with any resulting issues.

In their position I would probably arrange for the interest to be paid on Saturday 4th April which was likely a normal working day for many staff, or at least could be cheaper for overtime than paying people to come in on Easter Sunday or on a bank holiday. By paying the interest early (on the 4th) they are still complying with their T&C's.

I would expect they worked out the cost to them of two extra days of interest was less than the possible staffing cost of doing the interest addition today (and less than the 4 days extra if the addition was done on Thursday).

Given the potential customer service/compensation costs involved if the interest addition process failed over a bank holiday weekend, I'd view them deciding to pay interest early - even on a Saturday - as a sign of prudent management, rather than anything to be concerned about.

Misha96

https://forums.moneysavingexpert.com/discussion/comment/81951876#Comment_81951876

Thank you for your time @Section62. You've been very helpful. Any idea what time of day Skipton BS interest is capitalised?

TheWoodler

Skipton tends in my experience to capitalise at the end of the day, so you should find that the interest is in your account tomorrow.

masonic

https://forums.moneysavingexpert.com/discussion/comment/81953045#Comment_81953045

Which is why midnight has been deprecated in ISO8601. It confuses people. Some people incorrectly believe that midnight on 7th April hasn't happened yet. Hence the first agent might have given an answer they believed was one minute earlier than the second, even though those who correctly understand midnight to refer to the start of the day would be 24 hours out.

If the account was opened on 8th April last year, then interest becomes late at the beginning of the 8th, if not credited by then. But if it is subsequently credited overnight and backdated to 7th, all is well.