FD Calculator
Calculate FD maturity
FD Benefits:
- ✓ Guaranteed returns
- ✓ Low risk investment
- ✓ Flexible tenure options
- ✓ Loan facility available
- ✓ Premature withdrawal allowed
- ✓ Senior citizen benefits
💡 Tax Info: Interest earned on FD is taxable as per your income tax slab. TDS is deducted if interest exceeds ₹40,000/year (₹50,000 for senior citizens).
👴 Senior Citizen: Most banks offer 0.25% - 0.50% higher interest rates for senior citizens (60+ years).
Note: Tax and regulatory information shown below is India-specific and amounts are in Indian Rupees (INR). The calculator above automatically detects your currency for calculations.
What is Fixed Deposit (FD)?
A Fixed Deposit (FD) is a financial instrument provided by banks and NBFCs that offers investors a higher rate of interest than a regular savings account, until the given maturity date. It is one of the safest investment options with guaranteed returns.
How FD Calculator Works:
Our FD calculator uses the compound interest formula to calculate your maturity amount:
A = P(1 + r/n)^(nt)
Where: A = Maturity amount, P = Principal, r = Interest rate, n = Compounding frequency, t = Time period
Types of Fixed Deposits:
- Regular FD: Standard fixed deposit with fixed tenure and interest rate
- Tax-Saver FD: 5-year lock-in with Section 80C benefits (up to ₹1.5 lakh)
- Senior Citizen FD: Higher interest rates (0.25% - 0.50% extra) for 60+ age
- Cumulative FD: Interest compounded and paid at maturity
- Non-Cumulative FD: Interest paid monthly/quarterly/annually
- Flexi FD: Combination of savings and FD with auto-sweep facility
Key Features of FD:
- Guaranteed Returns: Fixed interest rate throughout the tenure
- Low Risk: Principal amount is safe and secure
- Flexible Tenure: 7 days to 10 years (varies by bank)
- Loan Facility: Up to 90% of FD amount as loan/overdraft
- Premature Withdrawal: Allowed with penalty (usually 0.5% - 1%)
- Auto-Renewal: Option to automatically renew FD at maturity
- Nomination: Facility to nominate beneficiaries
FD Interest Rates (Indicative):
| Tenure | General Public | Senior Citizens |
|---|---|---|
| 7 days - 45 days | 3.00% - 3.50% | 3.50% - 4.00% |
| 46 days - 179 days | 4.50% - 5.50% | 5.00% - 6.00% |
| 180 days - 1 year | 5.50% - 6.50% | 6.00% - 7.00% |
| 1 year - 2 years | 6.50% - 7.25% | 7.00% - 7.75% |
| 2 years - 5 years | 7.00% - 7.50% | 7.50% - 8.00% |
| 5 years - 10 years | 6.50% - 7.00% | 7.00% - 7.50% |
*Rates are indicative and vary across banks. Check with your bank for current rates.
Tax on FD Interest:
- Taxable Income: Interest earned on FD is fully taxable as per your income tax slab
- TDS Deduction: 10% TDS if interest exceeds ₹40,000/year (₹50,000 for senior citizens)
- Form 15G/15H: Submit to avoid TDS if total income is below taxable limit
- Tax-Saver FD: Only investment qualifies for 80C deduction, interest is still taxable
- Higher TDS: 20% TDS if PAN not provided to bank
Premature Withdrawal Rules:
- Penalty: Usually 0.5% - 1% reduction in interest rate
- Minimum Period: Some banks require minimum 7 days before withdrawal
- Partial Withdrawal: Not allowed in most FDs (except Flexi FD)
- Tax-Saver FD: No premature withdrawal allowed (5-year lock-in)
- Interest Calculation: Revised rate applied for actual period held
Loan Against FD:
- Loan Amount: Up to 90% of FD value (varies by bank)
- Interest Rate: FD rate + 1% to 2% (lower than personal loans)
- Tenure: Usually up to FD maturity date
- No Processing Fee: Most banks don't charge processing fees
- FD Continues: FD continues to earn interest while loan is active
- Quick Approval: Instant approval as FD acts as collateral
Who Should Invest in FD?
- Risk-averse investors: Want guaranteed returns with zero market risk
- Senior citizens: Benefit from higher interest rates
- Short-term goals: Need money in 1-5 years (emergency fund, down payment)
- Conservative investors: Prefer capital protection over high returns
- Tax savers: Tax-saver FD for Section 80C benefits
- Retirees: Regular income through non-cumulative FD
FD vs Other Investment Options:
| Feature | FD | PPF | Debt MF |
|---|---|---|---|
| Returns | 6-7.5% p.a. | 7.1% p.a. | 6-8% p.a. |
| Risk | Very Low | Very Low | Low-Medium |
| Liquidity | High (with penalty) | Low (15 years) | High |
| Tax on Returns | Taxable | Tax-free | Taxable (with indexation) |
| 80C Benefit | Only Tax-saver FD | Yes | Only ELSS |
Example Calculation:
Scenario:
- Deposit Amount: ₹1,00,000
- Interest Rate: 7% p.a.
- Time Period: 5 years
- Compounding: Quarterly
Results:
- Principal Amount: ₹1,00,000
- Interest Earned: ₹41,478
- Maturity Amount: ₹1,41,478
- Effective Annual Return: 7.19% (due to quarterly compounding)
💡 Pro Tips for FD Investment:
- Ladder your FDs across different tenures for better liquidity
- Choose quarterly compounding for higher effective returns
- Compare rates across banks - small differences compound over time
- Senior citizens should always check for special rates
- Submit Form 15G/15H if income is below taxable limit to avoid TDS
- Consider cumulative FD for long-term goals (better compounding)
- Use FD laddering strategy to balance returns and liquidity
- Check for special promotional rates during festive seasons
⚠️ Important Considerations:
- FD returns may not beat inflation in the long run
- Interest is taxable - consider post-tax returns for comparison
- Premature withdrawal penalty reduces effective returns
- Bank FDs up to ₹5 lakh are insured by DICGC
- NBFC FDs offer higher rates but carry slightly higher risk
- Consider debt mutual funds for better tax efficiency (if holding >3 years)
Important Disclaimer
For Educational and Informational Purposes Only: This calculator is provided solely for educational and informational purposes. It is designed to help you understand potential investment outcomes and should not be considered as financial, investment, tax, or legal advice.
Not Professional Advice: The calculations, results, and information provided by this tool do not constitute professional financial advice, investment recommendations, or tax guidance. Always consult with a qualified financial advisor, certified financial planner, tax consultant, or legal professional before making any investment or financial decisions.
Accuracy and Assumptions: While we strive to ensure the accuracy of our calculators, the results are based on the inputs you provide and certain assumptions. Actual returns, interest rates, tax implications, and other factors may vary significantly based on market conditions, government policies, individual circumstances, and other variables beyond our control.
No Guarantees: Past performance is not indicative of future results. The calculations provided are estimates and projections only. We make no guarantees, warranties, or representations regarding the accuracy, completeness, or reliability of the information or calculations provided.
Regional Variations: Financial regulations, tax laws, interest rates, and investment rules vary significantly by country, state, and jurisdiction. The information provided may not be applicable to your specific location or circumstances. Always verify current rates, rules, and regulations with official sources or local authorities.
Tax Implications: Tax laws are complex and subject to change. The tax-related information provided is general in nature and may not apply to your specific situation. Consult a qualified tax professional for advice tailored to your individual circumstances.
Market Risks: All investments carry risk, including the potential loss of principal. Market conditions, economic factors, and other variables can significantly impact investment performance. Diversification and asset allocation do not guarantee profit or protect against loss.
Currency and Exchange Rates: Currency detection and conversion are provided for convenience only. Exchange rates fluctuate constantly and may differ from the rates used in calculations. Always verify current exchange rates with your financial institution.
Updates and Changes: Interest rates, contribution limits, tax benefits, and other financial parameters are subject to change by government authorities, regulatory bodies, and financial institutions. We recommend verifying current rates and rules with official sources before making any decisions.
No Liability: We shall not be liable for any direct, indirect, incidental, consequential, or punitive damages arising from your use of this calculator or reliance on the information provided. Use this tool at your own risk.
Independent Verification: Always independently verify all calculations, rates, and information with official sources, financial institutions, or qualified professionals before making any financial commitments or investment decisions.
By using this calculator, you acknowledge that you have read, understood, and agree to this disclaimer. You accept full responsibility for any decisions made based on the information provided by this tool.