Total Amount
Loan Tenure
Customer Type
Interest Rate
Deposit Type
Maturity Amount
Invested Amount
Interest Earned
Invested Amount
Interest Rate
Period
Maturity Date
Total Interest
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Total Payment
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What is a Fixed Deposit
A fixed deposit is a financial settlement where you deposit a sum of money with a bank or financial institution for a specific period at a fixed interest rate. Hence the name Fixed Deposit. In simple words, you're lending your money to the bank, and in return, they promise to pay you back the initial amount plus the agreedupon interest when the deposit matures.
Why invest in a Fixed Deposit?
Fixed deposits offer a secure way to grow your savings as the interest rate remains constant throughout the deposit period, providing a surety of your return on investment.
If you are one of those who are seeking a stable and lowrisk investment option, offering both security and the potential for modest growth over time then FD is the best investment option for you.
Calculating Fixed Deposit’s maturity amount
You have the option to choose between two types of FD: simple interest FD and compound interest FD.
Let’s look at the calculation of simple interest FD
M = P + (P x r x t/100), where

P is the principal amount that you deposit

r is the rate of interest per annum

t is the tenure in years
Suppose, you want to invest the principal amount 2,00,000 for a tenure of 5 years at 10% rate of interest
M = 2,00,000 + (2,00,000*10*5) / 100
M = 2,00,000 + (1,00,000)
M = 3,00,000
Therefore, Maturity amount after 5 years will be 3,00,000
Let’s look at the calculation of compound interest FD
A=P(1+r/n)nt
Principal amount (P) = 200,000
Tenure (t) = 5 years
Interest rate (r) = 7% or 0.07 (in decimal)
Compounding frequency (n) = 4 times per year
n is the compounding frequency, also known as factorial
It remains 4 because banks provide interest quarterly on your invested amount.
Step 1: Convert the interest rate to a decimal.
r=7% =0.07
Step 2: Substitute the values into the formula and solve for A.
A=P(1+r/n)^nt
A= 2,00,000 (1+0.07/4)^4*5
A= 2,00,000(1+0.0175)^20
A= 2,00,000 (1.402565)
A= 2,80,513
Step 3: Calculate the compound interest.
Compound Interest = A  P
CI = 2,00,000  2,80,513
CI = 80,513
How to use our FD calculator

STEP  1
Scroll the scale or directly write down the amount you want to put in the bank as a FD. In the tenure part, first choose the year or month option and then type in the desired value.

STEP  2
Choose the customer type, General is for adults up till the age of 59. If you are investing in FD as a senior citizen,or want to know FD calculation for a senior citizen, kindly choose the option accordingly.
Notice:Banks provide additional 0.5 interest to senior citizens, that’s why whenever you choose the citizen option, it automatically adds 0.5 to the rate of interest.

STEP  3
Enter the expected rate of interest. "deposit type" refers to how the interest is calculated and credited to the account. In the deposit section choose quarterly, Monthly or short term, in case of Simple Interest FD and choose Reinvestment option if you want to go for Compound Interest FD.