1. Enter FD Details
2. Your Result
3. Compounding Comparison
See how the estimated maturity changes when the same deposit is compounded at different frequencies.
| Compounding | Maturity Amount | Interest Earned |
|---|
4. How FD Interest Is Calculated
For a standard compound-interest estimate, the calculator uses: A = P × (1 + r/n)nt, where P is principal, r is annual interest rate, n is compounding frequency and t is tenure in years.
5. FD Planning Tips
- Compare the interest rate and tenure before booking.
- Check whether the quoted rate is for cumulative or non-cumulative FD.
- Check premature withdrawal penalties and lock-in conditions.
- Consider tax/TDS implications when estimating your net return.
- Don't choose a tenure solely for a higher rate if you may need the money earlier.
🏦 Fixed Deposit (FD) Calculator — How Does It Work?
A Fixed Deposit (FD) allows you to deposit a lump sum amount with a bank or financial institution for a selected period at a specified interest rate. This calculator helps estimate the maturity amount and interest earned.
How FD interest is calculated
The calculator uses the deposit amount, annual interest rate, tenure and selected compounding frequency to estimate the maturity value. More frequent compounding can produce a different mathematical result than less frequent compounding.
What affects your FD maturity amount?
- Deposit amount: A larger initial deposit generally produces more interest when the rate and tenure are the same.
- Interest rate: A higher rate generally increases the estimated interest earned.
- Tenure: A longer tenure can provide more time for interest to accumulate.
- Compounding frequency: The frequency of compounding can affect the estimated maturity amount.
Example
Suppose you deposit ₹1,00,000 at an annual interest rate of 7% for 5 years. Use the calculator above to estimate the maturity amount and compare how the result changes with different compounding frequencies.
Cumulative vs non-cumulative FD
In a cumulative FD, interest is generally accumulated and paid at maturity. In a non-cumulative FD, interest may be paid periodically according to the product terms. Check the bank's specific terms before choosing an FD.
What should you check before booking an FD?
- Compare the applicable interest rate and tenure.
- Check premature withdrawal rules and applicable penalties.
- Understand the payout option and compounding method.
- Consider applicable tax and TDS rules.
- Check the bank or financial institution's current product terms.
Does a longer FD tenure always mean a better choice?
Not necessarily. A longer tenure may provide more time for interest to accumulate, but you should also consider when you may need access to your money. Compare the expected return with your liquidity needs before choosing a tenure.
Important: Smart Money FD Calculator provides an educational estimate. Actual FD maturity, interest payout, taxes, TDS, premature-closure charges and other terms depend on the bank or financial institution and the applicable product conditions.