Honestly, I am not sure whether they compound daily or not
but about a year ago, I wanted to send in weekly payments so I did. At the end of the month, I did not get credit for those weekly payments counting towards my amount due. So, I called and asked and was told that it doesn’t work that way. I can’t send in a little at at time – I have to send in the whole amount at once and it won’t make a difference in terms of how much goes towards interest and principal. I’m not sure that I completely understand why, but I do know that the Wells Fargo mortgage does it differently.