So is there a difference between the time the interest is earned and when it is paid?
Maybe the question is: When you have a CD that matures in 12 months, is interest actually earned prior to the end of the 12 month period? Maybe interest is neither earned nor paid until the CD matures. Then on the date of maturity, interest is earned and paid and in addition, the CD could be rolled over for a new 12 month period (?)
Thank you helping me understand this!
