FD Calculator — Fixed Deposit Maturity Calculator India 2026
Calculate your fixed deposit maturity amount, total interest earned, and quarterly or monthly payouts in seconds. Supports all compounding frequencies.
Fixed Deposit (FD) Calculator
Adjust the sliders and select a compounding frequency to see your FD returns instantly.
| Period | Opening Balance | Interest Added | Closing Balance | Total Interest |
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What Is a Fixed Deposit? The Complete FD Guide for 2025
A Fixed Deposit (FD) is the most popular savings instrument in India. You deposit a lump sum with a bank or NBFC for a fixed tenure at a predetermined interest rate. At maturity, you receive your principal plus accumulated interest.
FDs are offered by all scheduled commercial banks, small finance banks, post offices (through Post Office Time Deposits), and Non-Banking Financial Companies (NBFCs). The Deposit Insurance and Credit Guarantee Corporation (DICGC) insures FD deposits up to ₹5 lakh per depositor per bank — a key safety net mandated by the RBI.
FD Interest Formula — How Your Returns Are Calculated
Indian banks use two methods to calculate FD interest. The calculation you use depends on whether you choose a cumulative FD (reinvest interest) or a non-cumulative FD (periodic payouts).
Worked Example — ₹2 Lakh FD at 7.25% for 3 Years (Quarterly)
Let’s calculate step by step:
- P = ₹2,00,000 | r = 0.0725 | n = 4 | t = 3
- A = 2,00,000 × (1 + 0.0725/4)^(4×3)
- A = 2,00,000 × (1.018125)^12
- A = 2,00,000 × 1.2408
- Maturity Amount = ₹2,48,160
- Interest Earned = ₹48,160
- Effective Annual Yield = (1.018125)^4 − 1 = 7.45%
Best FD Interest Rates in India — 2025 Comparison
Interest rates vary significantly across banks. Small Finance Banks (SFBs) typically offer 0.5–1.5% higher rates than large PSU banks but carry slightly higher risk. Below is a comparison as of mid-2025.
| Bank / Institution | 1–2 Year FD Rate | Senior Citizen Rate | 3–5 Year FD Rate | Min. Deposit |
|---|---|---|---|---|
| SBI | 6.8% | 7.3% | 6.75% | ₹1,000 |
| HDFC Bank | 7.0% | 7.5% | 7.0% | ₹5,000 |
| ICICI Bank | 7.25% | 7.75% | 7.0% | ₹10,000 |
| Axis Bank | 7.5% | 8.0% | 7.0% | ₹5,000 |
| Kotak Mahindra | 7.75% | 8.25% | 7.0% | ₹5,000 |
| Bank of Baroda | 6.85% | 7.35% | 6.5% | ₹1,000 |
| Post Office TD | 6.9% | 6.9% | 7.5% | ₹1,000 |
| Unity Small Finance | 9.0% | 9.5% | 8.5% | ₹1,000 |
| AU Small Finance | 8.0% | 8.5% | 7.75% | ₹1,000 |
Rates are indicative as of 2025. Always verify current rates at your bank’s official website before investing. Senior citizen rates are typically 0.25–0.5% higher.
Cumulative vs Non-Cumulative FD — Which Should You Choose?
| Feature | Cumulative FD | Non-Cumulative FD |
|---|---|---|
| Interest payout | At maturity (compounded) | Monthly / Quarterly / Half-yearly |
| Returns | Higher (compounding benefit) | Lower (no reinvestment) |
| Best for | Wealth building, goals | Retirees, monthly income need |
| TDS deduction | On accrual basis annually | On each payout |
| Liquidity | Low until maturity | Regular cash flow |
| Example return | ₹2,48,160 on ₹2L at 7.25%/3yr | ≈ ₹1,208/month on same |
FD Taxation — TDS, ITR and How to Avoid Excess Tax
FD interest is taxable as “Income from Other Sources” under the Income Tax Act, 1961. It is added to your total income and taxed at your applicable slab rate. This is a crucial point many investors miss — the displayed FD rate is always the pre-tax rate.
| Scenario | TDS Threshold | TDS Rate | Action Required |
|---|---|---|---|
| Regular taxpayer | ₹40,000/year interest | 10% | File ITR, claim refund if over-deducted |
| Senior citizen (60+) | ₹50,000/year interest | 10% | Section 80TTB deduction up to ₹50,000 |
| No PAN furnished | Any amount | 20% | Always link PAN to bank account |
| Income below taxable limit | Any amount | Nil (after Form 15G/H) | Submit Form 15G (below 60) or 15H (senior citizen) at start of FY |
5 Tips to Maximise Your FD Returns in India
- 01Choose quarterly compounding over simple interest. On ₹5 lakh at 7% for 3 years, quarterly compounding gives ₹11,200 more than simple interest. Always pick compound interest for cumulative FDs.
- 02Senior citizen FD rates give 0.25–0.5% extra. If you’re investing on behalf of a parent aged 60+, open the FD in their name. SBI, HDFC, and most banks offer higher senior citizen rates. Combined with Section 80TTB (₹50,000 deduction), this is one of the best risk-free returns available.
- 03Use the 5-year Tax Saver FD for Section 80C deduction. A 5-year bank FD qualifies for ₹1.5 lakh deduction under Section 80C. Current rates are around 6.5–7%. Note: premature withdrawal is not allowed on these FDs.
- 04Compare Small Finance Banks carefully. Banks like AU, Unity, and Suryoday SFB offer 8–9%+ rates. They are RBI-regulated and DICGC-insured up to ₹5 lakh. For amounts above ₹5 lakh, split across multiple banks to maximize insurance coverage.
- 05Submit Form 15G/15H at the beginning of the financial year. If your total income is below ₹2.5 lakh (₹3 lakh for senior citizens), submit this form to your bank to avoid TDS deduction at source entirely. Resubmit every April.