If you apply them you'll improve your financial lot. It's always better to compound more frequently. Daily compounding is better than monthly or quarterly. You'll begin earning interest on interest on the second day, not the second month. So you want to always choose the shortest compounding period offered to you.
More time magnifies the effects of compounding.
That money will double in about 7 years. If you left the interest in the account you'd have twice as much money earning interest in years eight through fourteen. The rest of the account will earn a less depending upon how long it's been in the account. Time and compound interest, however, are a double edged sword. OK, now let's get down to how us poor folks can take advantage of compound interest.