FD Calculator - Fixed Deposit
Calculate the maturity amount and interest earned on your Fixed Deposit (FD) investments.
How to Use the FD Calculator
Enter FD Deposit Amount
Enter the one-time principal amount you plan to deposit.
Set Annual Interest Rate
Input the annual interest rate offered by your bank for the FD.
Choose Investment Tenure
Select the duration of the fixed deposit in years.
View Maturity Value
Instantly see the total interest earned and your final maturity amount.
Frequently Asked Questions
What is a Fixed Deposit (FD)?
A Fixed Deposit is a secure financial instrument offered by banks and NBFCs where you deposit a lump sum for a specific tenure at a predetermined interest rate. It provides guaranteed returns, making it one of the safest investment options available. FDs are immune to market volatility.
How is FD interest calculated?
FD interest can be calculated using either simple or compound interest, depending on the bank and tenure. Most banks compound interest quarterly. Our FD calculator automatically applies standard quarterly compounding formulas to give you accurate maturity values.
What is the difference between FD and RD?
In a Fixed Deposit, you invest a single lump sum amount at the beginning of the tenure. In a Recurring Deposit (RD), you invest a fixed smaller amount every month. FDs generally earn slightly more interest overall since the entire principal is invested from day one.
Can I withdraw my FD before maturity?
Yes, premature withdrawal of an FD is usually allowed, but it typically attracts a penalty. Banks usually reduce the applicable interest rate by 0.5% to 1% for the period the deposit was held. Tax-saving FDs (5-year lock-in), however, cannot be withdrawn prematurely.
Is FD interest taxable?
Yes, the interest earned on Fixed Deposits is fully taxable according to your income tax slab. Banks also deduct TDS (Tax Deducted at Source) at 10% if your annual FD interest exceeds âš40,000 (âš50,000 for senior citizens). You can submit Form 15G/15H to avoid TDS if eligible.
Do senior citizens get higher FD rates?
Yes, almost all banks and financial institutions offer an additional interest rate of 0.50% to 0.75% for senior citizens (individuals aged 60 and above). This makes FDs a highly attractive and safe regular income option for retirees.
Cumulative vs Non-Cumulative FD?
In a cumulative FD, interest is compounded and paid out along with the principal only at maturity, offering maximum growth. In a non-cumulative FD, interest is paid out periodically (monthly, quarterly, or annually) to provide regular income, which is ideal for pensioners.
How safe are Fixed Deposits?
Bank FDs are considered highly safe. In India, deposits in scheduled commercial banks are insured up to âš5 lakh per bank per customer by the DICGC, an RBI subsidiary. Corporate FDs carry slightly higher risk but offer better interest rates.