Find out how interest is calculated, when it is paid and where you can see your earnings.
How is the interest payment calculated?
Interest is paid daily. The daily rate is derived from the AER as:
- Daily rate = (1 + AER)^(1/n) − 1, where n = 365.25, the average number of days in a year including leap years. This means the AER is achieved on average across a four-year cycle.
- Each daily payment is rounded down to the nearest cent.
- Any fraction of a cent not paid is not lost: it is stored and added to the next day’s interest, so you receive all interest earned over time.
💡 Example
USD AER = 5%, balance = $1,000
Daily rate = (1.05)^(1/365.25) − 1 = 0.00013359
Daily interest = $1,000 × 0.00013359 = $0.13359
Day 1: $0.13359 earned → $0.13 paid, $0.00359 carried forward
Day 2: $0.13359 + $0.00359 = $0.13718 → $0.13 paid, $0.00718 carried forward
Day 3: $0.13359 + $0.00718 = $0.14077 → $0.14 paid, $0.00077 carried forward
For simplicity, this example assumes the balance stays at $1,000.
How often do I get interest?
Interest payments are made daily, rounded down to the nearest cent. Amounts below 0.01 are carried forward.
If the daily interest falls below 0.01, it will accumulate until reaching 0.01 or more, at which point it will be paid.
📄 Note
For Cash ISA accounts, interest is accumulated daily but paid out monthly, on the 3rd of each month. Keep in mind, you will still receive daily notifications to update you of accumulated interest.
Where can I check the interest I have earned?
- Tap ☰
- Select Interest on cash
- Check the total interest earned for each currency under Your earnings
📄 Note
Interest is calculated at 22:00 GMT and distributed between 01:00 and 02:00 GMT. The interest you receive is based on your free funds at the time of calculation.
Where is the interest on cash received?
Cash ISA, Stocks ISA, SIPP, and CFD accounts
- Interest is paid directly into your account balance.
Invest account
- Interest is credited into your account balance in the Main Pot.
Where is interest paid?
Interest is paid into the Trading 212 account where it is earned.
How often do interest rates change?
Interest rates are based on rates we receive from the banks and QMMFs we hold your cash with. These rates are based on the central banks' rates, like the Bank of England's base rate for GBP. If the central bank rate changes, you can expect a change in the interest on cash; however, rates are at our discretion and can change at any time.
Is there a maximum balance that earns interest?
There is no maximum balance for interest on cash in general. However, for Trading 212 EU GmbH clients, a cap applies to interest paid on EUR balances from 3 December 2026:
- Interest is paid at the applicable EUR rate on the first €100,000 of your EUR balance per account.
- Any EUR cash above €100,000 earns 0% interest.
- The cap applies separately to your Invest account and your CFD account.
- The cap applies to EUR only; balances in other currencies are not capped at this time.
Cash above the cap is still held and may be placed in qualifying money market funds (QMMFs), subject to the same disclosures, but it does not earn interest. The cap also applies to clients earning the EUR promotional rate on their Invest Account.
Do I have to pay taxes on the earned interest?
This depends on your tax residency. For more information, check here.
If you are a client of Trading 212 AU PTY LTD, you should check out this article about taxation.