One potential benefit of bilateral cochlear implants is reduced listening effort in speech-on-speech masking situations. However, the symmetry of the input across ears, possibly related to spectral resolution, could impact binaural benefits. Fifteen young adults with normal hearing performed digit recall with target and interfering digits presented to separate ears and attention directed to the target ear. Recall accuracy and pupil size over time (used as an index of listening effort) were measured for unprocessed, 16-channel vocoded, and 4-channel vocoded digits. Recall accuracy was significantly lower for dichotic (with interfering digits) than for monotic listening. Dichotic recall accuracy was highest when the target was less degraded and the interferer was more degraded. With matched target and interferer spectral resolution, pupil dilation was lower with more degradation. Pupil dilation grew more shallowly over time when the interferer had more degradation. Overall, interferer spectral resolution more strongly affected listening effort than target spectral resolution. These results suggest that interfering speech both lowers performance and increases listening effort, and that the relative spectral resolution of target and interferer affect the listening experience. Ignoring a clearer interferer is more effortful.