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FD Calculator — Fixed Deposit Interest & Maturity Calculator (Free, India 2026)

Calculate your Fixed Deposit maturity amount, interest earned, and year-by-year growth instantly. Our free FD calculator supports all compounding frequencies (monthly, quarterly, half-yearly, yearly, and simple interest), includes a senior citizen benefit toggle (+0.50%), shows a visual principal-vs-interest breakdown, and lets you compare returns across different interest rates — all in your browser, no login required.

FD Details

₹1,00,000
7.0% p.a.
%
2.0 years
yrs

Senior Citizen Benefit (60+ yrs)

Most banks offer +0.50% extra rate for senior citizens

Principal Amount

₹1,00,000

Interest Earned

₹14,888

14.9% of principal

Maturity Amount

₹1,14,888

Effective Annual Yield

7.19%

Better than nominal rate

Principal vs Interest Split

At maturity after 2 years

Principal87.0%
Interest13.0%

Wealth Growth Over Time

Cumulative principal + interest by year

Year-by-Year Breakdown

How your FD grows annually at 7.0% p.a. (quarterly compounding)

YearOpening BalanceInterest EarnedClosing Balance
Year 1₹1,00,000+₹7,186₹1,07,186
Year 2₹1,07,186+₹7,702₹1,14,888
Total₹1,00,000+₹14,888₹1,14,888

Rate Comparison — What If?

₹1,00,000 invested for 2 years at different interest rates (base rate, no senior benefit)

Rate p.a.Maturity AmountInterest Earnedvs Your Rate
5.5%₹1,11,544+₹11,544₹-3,344
6.0%₹1,12,649+₹12,649₹-2,239
6.5%₹1,13,764+₹13,764₹-1,124
7.0%your rate₹1,14,888+₹14,888
7.5%₹1,16,022+₹16,022+₹1,134
8.0%₹1,17,166+₹17,166+₹2,278
8.5%₹1,18,320+₹18,320+₹3,431
9.0%₹1,19,483+₹19,483+₹4,595

* Senior citizens should add 0.50% to the above rates for their effective maturity.

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Why Use Our FD Calculator?

📊

Accurate Compound Interest

Uses the standard A = P(1+r/n)^(nt) formula used by all Indian banks. Supports quarterly, monthly, half-yearly, yearly, and simple interest.

👴

Senior Citizen Rate

One-click toggle adds the standard +0.50% senior citizen benefit to your calculation. See the exact extra interest you earn for being 60+.

📅

Year-by-Year Breakdown

See exactly how your money grows each year — opening balance, interest earned, and closing balance for every year of your FD tenure.

🔢

Rate Comparison Table

Compare your current rate against 5.5%–9.0% rates side by side. Instantly see how much more (or less) you earn by moving to a different bank.

📈

Effective Annual Yield

Calculates the true annual return after compounding. A 7% quarterly FD actually earns 7.19% EAY — our calculator shows you the real number.

🔒

100% Private

All calculations happen instantly in your browser. No data is sent to any server. No account required. Works offline.

How to Use the FD Calculator

  1. 1
    Enter the deposit amount — use the slider or type directly. Ranges from ₹10,000 to ₹1 crore.
  2. 2
    Set the annual interest rate — check your bank's current FD rate. Typically 6%–9% for Indian banks in 2026.
  3. 3
    Choose tenure in years or months — from 1 month to 10 years. Tax-saving FDs are typically 5 years.
  4. 4
    Select compounding frequency — most Indian banks compound quarterly. Some post office schemes use yearly.
  5. 5
    Toggle Senior Citizen if you are aged 60+. This adds the standard 0.50% extra rate benefit.
  6. 6
    View results instantly — maturity amount, interest earned, effective annual yield, year-by-year table, and rate comparison.

FD Calculation Formulas

Compound Interest (used by most banks)

A = P × (1 + r/n)^(n × t)

Where:
  A = Maturity Amount
  P = Principal (deposit amount)
  r = Annual interest rate (e.g., 0.07 for 7%)
  n = Compounding frequency per year
      (12 = monthly, 4 = quarterly, 2 = half-yearly, 1 = yearly)
  t = Time in years

Example: ₹2,00,000 at 7% p.a. for 2 years, quarterly compounding: A = 2,00,000 × (1 + 0.07/4)^(4×2) = 2,00,000 × (1.0175)^8 ≈ ₹2,29,776. Interest = ₹29,776.

Simple Interest FD (rare)

I = P × R × T / 100
A = P + I

Where:
  I = Interest Earned
  R = Annual interest rate (%)
  T = Time in years

Simple interest FDs are rare in India. A few post office schemes and small co-operative banks use them.

Effective Annual Yield (EAY)

EAY = (1 + r/n)^n − 1

Example at 7% quarterly:
EAY = (1 + 0.07/4)^4 − 1 = (1.0175)^4 − 1 ≈ 7.186%

The EAY is always slightly higher than the nominal rate for compound interest (except yearly). Use it to compare FDs with different compounding frequencies on an equal footing.

Current FD Interest Rates in India (2026)

Rates are indicative as of early 2026. Always verify directly with your bank before investing.

Bank / InstitutionGeneral RateSenior Citizen RateBest Tenure
SBI6.50–7.00%7.00–7.50%1–3 years
HDFC Bank6.60–7.25%7.10–7.75%1–3 years
ICICI Bank6.70–7.20%7.20–7.70%1–3 years
Axis Bank6.70–7.20%7.20–7.75%1–2 years
Kotak Mahindra6.75–7.25%7.25–7.75%390 days
Post Office (SCSS)8.20%8.20% + 0.5%5 years
Small Finance Banks7.50–9.00%8.00–9.50%1–3 years
RBI Floating Bonds8.05%8.05%7 years

* Small Finance Banks offer higher rates but check DICGC cover (₹5 lakh limit). SCSS = Senior Citizens Savings Scheme (Post Office).

FD vs Other Investment Options

FeatureFixed DepositMutual FundsPPFNPS
Returns6–9% (fixed)8–14% (variable)7.1% (fixed)9–12% (variable)
RiskNoneLow to HighNoneLow to Medium
Lock-inFlexible / 5yr taxELSS: 3 yrs15 yearsTill age 60
LiquidityPremature allowedAnytime (ELSS 3yr)Partial after 7yLimited till 60
Tax on returnsFully taxableLTCG 12.5% / STCGTax-freePartly tax-free
Section 80C5-yr FD onlyELSS onlyYesYes (₹1.5L)
InsuranceDICGC ₹5LSEBI regulatedGovt. backedPFRDA regulated

Best for FD: Capital protection, guaranteed returns, short-term goals (under 3 years), emergency fund parking, senior citizens, and risk-averse investors. For long-term wealth creation, equity mutual funds or NPS typically outperform FDs.

FD Tax Rules — TDS, Form 15G/15H, and ITR

When TDS is Deducted

  • Interest > ₹40,000/year (general): 10% TDS
  • Interest > ₹50,000/year (senior citizens): 10% TDS
  • TDS rate rises to 20% if PAN is not submitted
  • Banks deduct TDS at the time of interest credit

How to Avoid TDS

  • Submit Form 15G (age < 60, income below taxable limit)
  • Submit Form 15H (age 60+, income below taxable limit)
  • Forms must be submitted at the start of each financial year
  • One form per bank branch is required

Filing in ITR

  • Declare FD interest under 'Income from Other Sources'
  • Report interest even if bank deducted TDS
  • Check Form 26AS to verify TDS deducted
  • File ITR-1 (SAHAJ) if only FD interest and salary income

Tax-Saving FD (80C)

  • 5-year lock-in, no premature withdrawal
  • Deduction up to ₹1.5 lakh under Section 80C
  • Interest is fully taxable (no exemption on interest)
  • Can be opened with scheduled banks (not all cooperative banks)

5 Costly FD Mistakes to Avoid

01

Not comparing rates across banks

A 0.5% difference on ₹10 lakh over 3 years = approximately ₹15,000 extra interest. Use our rate comparison table to see the exact impact on your deposit amount.

02

Breaking FD prematurely without checking penalty

Premature withdrawal typically incurs 0.5–1% penalty on the interest rate. For a 7% FD broken early, you may only get 6–6.5%. Calculate if a personal loan might actually be cheaper.

03

Not submitting Form 15G/15H

If your income is below the taxable limit, you must submit Form 15G (or 15H for seniors) to prevent 10% TDS deduction. This is a needless reduction in liquidity — you get the refund only after filing ITR.

04

Keeping all savings in one bank (over ₹5 lakh)

DICGC insures only ₹5 lakh per depositor per bank. Deposits above ₹5 lakh at any single bank carry risk if the bank fails. Distribute large amounts across multiple banks.

05

Ignoring small finance banks for higher rates

SEBI-regulated small finance banks like Equitas, ESAF, and Jana Bank offer 8–9% FD rates — 1–2% more than large banks. They are covered by DICGC. Worthwhile for amounts up to ₹5 lakh.

Tips to Maximize FD Returns

  • Use the FD laddering strategy — split your corpus across 1-year, 2-year, and 3-year FDs. As each matures, reinvest at prevailing rates. This maintains liquidity and protects against rate changes.
  • Book FDs when RBI is in a rate-cutting cycle — lock in current higher rates before cuts happen.
  • Senior citizens should always toggle the senior citizen benefit — most banks give +0.50% automatically to those 60+ when they show age proof at booking.
  • Choose monthly compounding for the highest effective yield if your bank offers it at the same rate.
  • For amounts above ₹5 lakh, split across multiple banks to maximize DICGC cover.
  • Consider the Post Office Senior Citizens Savings Scheme (SCSS) at 8.20% — fully backed by the Government of India.
  • Track FD maturity dates and reinvest immediately — letting an FD auto-renew often gives lower current rates.

Frequently Asked Questions — FD Calculator

1. What is a Fixed Deposit (FD)?

A Fixed Deposit (FD) is a savings instrument offered by banks and NBFCs where you deposit a lump sum for a fixed tenure at a predetermined interest rate. Unlike savings accounts, the rate is locked in for the entire tenure, giving you guaranteed returns. Your money earns compound interest and you receive the principal plus accumulated interest at maturity.

2. How is FD interest calculated?

Most Indian banks calculate FD interest using the compound interest formula: A = P × (1 + r/n)^(n×t), where P = principal, r = annual interest rate (decimal), n = compounding frequency per year (12 for monthly, 4 for quarterly, 2 for half-yearly, 1 for yearly), and t = time in years. The interest earned = A − P. Some small FD schemes use simple interest: I = P × r × t / 100.

3. What is maturity amount in FD?

The maturity amount is the total amount you receive at the end of the FD tenure. It includes your original principal plus all the compound interest earned during the period. For example, if you deposit ₹1,00,000 at 7% p.a. for 2 years compounded quarterly, you receive approximately ₹1,14,888 at maturity — a profit of ₹14,888.

4. Which compounding frequency gives the highest FD return?

Monthly compounding gives the highest maturity value, followed by quarterly, half-yearly, yearly, and then simple interest. However, the difference is small. For example, ₹1 lakh at 7% for 2 years: monthly compounding gives ₹1,15,012 while quarterly gives ₹1,14,888 — only ₹124 difference. Most Indian bank FDs compound quarterly (n=4).

5. What is effective annual yield (EAY) in FD?

The Effective Annual Yield (EAY) is the actual annual return after accounting for the effect of compounding within the year. A 7% FD compounded quarterly has an EAY of 7.19% (not exactly 7%). Formula: EAY = (1 + r/n)^n − 1. This helps you accurately compare FDs with different compounding frequencies.

6. Do senior citizens get a higher FD rate?

Yes. Most Indian banks offer an additional 0.25% to 0.50% interest rate to depositors aged 60 years and above. SBI, HDFC Bank, ICICI Bank, and most other banks give +0.50% extra on all FD tenures. Our calculator includes a 'Senior Citizen' toggle that adds 0.50% to your entered rate automatically to show accurate maturity figures.

7. Is FD interest taxable in India?

Yes. FD interest is fully taxable as 'Income from Other Sources' and added to your total income. Banks deduct TDS (Tax Deducted at Source) at 10% if interest exceeds ₹40,000 per year (₹50,000 for senior citizens). If your income is below the taxable limit, submit Form 15G (general) or Form 15H (senior citizens) to avoid TDS deduction. You must declare all FD interest in your ITR regardless of TDS.

8. What happens if I break an FD before maturity?

Premature withdrawal of an FD is allowed by most banks but attracts a penalty of typically 0.50% to 1.00% reduction in the applicable interest rate. The interest is recalculated at the rate applicable for the period the FD was actually held, minus the penalty. Some tax-saving FDs (5-year lock-in) cannot be broken before maturity at all.

9. What is DICGC insurance on bank FDs?

DICGC (Deposit Insurance and Credit Guarantee Corporation) insures bank deposits up to ₹5 lakh per depositor per bank, covering both principal and interest. This means if a bank fails, you are guaranteed to receive up to ₹5 lakh. For amounts above ₹5 lakh, consider spreading deposits across multiple banks to stay within the insurance limit.

10. FD vs Mutual Funds — which is better?

FDs are better for capital protection, guaranteed returns, and risk-averse investors. Mutual funds (especially equity) offer potentially higher returns over the long term but carry market risk. FDs are ideal for short-term goals (1–3 years), emergency funds, or senior citizens seeking stable income. Mutual funds are better for long-term wealth creation (5+ years). Many investors use both for diversification.

11. What is a tax-saving FD?

A Tax-Saving FD is a 5-year lock-in fixed deposit that qualifies for tax deduction under Section 80C of the Income Tax Act. You can claim deductions up to ₹1.5 lakh per financial year. The interest earned is fully taxable. Premature withdrawal is not allowed. It is suitable for individuals who want guaranteed returns while also reducing their taxable income.

12. How much can I invest in a Fixed Deposit?

Most banks set a minimum FD amount of ₹1,000 to ₹10,000 and there is typically no upper limit. However, for DICGC insurance coverage, each bank insures deposits up to ₹5 lakh per depositor. Our FD calculator supports deposit amounts from ₹10,000 to ₹1 crore. For very large deposits, you may consider splitting across multiple banks or banks with different ownership for better insurance coverage.