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How does interest work?
How does interest work?

Learn more about how interest compounds (daily) and when it is sent to your students (your choice)!

Katie Gracey avatar
Written by Katie Gracey
Updated over 2 months ago

How often is interest compounded?

Savings accounts operates with daily compounding interest. Every day, interest is calculated and added to the account balance, so savings grow daily. After the cadence you select (weekly, biweekly, or monthly), the accumulated interest is sent to the student just like in real life savings accounts.

How often is interest sent?

That's up to you! You have the option to issue students interest at weekly, biweekly, or monthly basis.

Choose the cadence that you would like to send interest.

  • weekly (on Fridays) to send interest every Friday.

  • biweekly to send interest on the first and third Friday of the month.

  • monthly to send interest on the first Friday of the month.

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