MonexMintMONEX MINT

FD Calculator

Calculate Fixed Deposit maturity with quarterly compounding. Check TDS, compare rates, and see senior citizen bonus (+0.5% extra rate).

FD Details

Minimum varies by bank (₹1,000 - ₹10,000)
%
Bank rates: 6.5% - 8% typically
months
Min: 7 days, Max: 10 years (most banks)

Most banks: Quarterly

Get +0.5% extra interest rate

🏦

Enter FD details

About Fixed Deposit (FD)

Fixed Deposit is a safe investment where you deposit a lump sum for a fixed period at a fixed interest rate. Principal and interest are guaranteed by the bank/DICGC (up to ₹5 lakh per depositor per bank).

Key Features

  • Interest Rates: 6% - 8% p.a. (varies by bank and tenure)
  • Tenure: 7 days to 10 years (most banks)
  • Compounding: Quarterly (most banks), some offer monthly/half-yearly
  • Senior Citizen Bonus: +0.25% to +0.75% extra (most banks +0.5%)
  • Safety: DICGC insured up to ₹5L per depositor per bank
  • Premature Withdrawal: Allowed (penalty: 0.5% - 1% on rate)

Types of FD

  • Regular FD: Fixed rate for entire tenure
  • Tax-Saver FD: 5-year lock-in, 80C benefit (up to ₹1.5L)
  • Cumulative FD: Interest compounded, paid at maturity
  • Non-Cumulative FD: Interest paid monthly/quarterly/yearly
  • Flexi FD: Linked to savings, auto-sweep facility

Interest Payment Options

  • Cumulative: Interest reinvested, lumpsum at maturity (highest returns)
  • Monthly Payout: Interest paid every month (for regular income)
  • Quarterly: Interest paid every 3 months
  • Yearly: Interest paid annually
  • At Maturity: Simple interest paid at end (lowest returns)

TDS (Tax Deducted at Source)

  • Threshold: ₹40,000/year (₹50,000 for senior citizens 60+)
  • Rate: 10% TDS if interest exceeds threshold
  • Form 15G/15H: Submit if income below taxable limit to avoid TDS
  • PAN Required: 20% TDS if PAN not provided
  • Interest Taxable: Added to income, taxed as per slab

Premature Withdrawal

  • Allowed after minimum period (varies: 7 days to 3 months)
  • Penalty: 0.5% - 1% reduction in interest rate
  • Some banks: No penalty for senior citizens/medical emergencies
  • Interest paid: At reduced rate for actual period held

Tax-Saver FD (80C)

  • Lock-in: 5 years (no premature withdrawal)
  • Tax Benefit: 80C deduction up to ₹1.5L
  • Interest: Taxable (no exemption unlike PPF)
  • Rate: Usually same as regular 5-year FD
  • Who Should Choose: Those needing 80C benefit with safety

FD Interest Rates by Tenure (Indicative)

TenureGeneralSenior (60+)
7 days - 45 days3.0%3.5%
46 days - 6 months5.5%6.0%
6 months - 1 year6.5%7.0%
1 year - 2 years7.0%7.5%
2 years - 3 years7.25%7.75%
3 years - 5 years7.5%8.0%
5 years - 10 years7.0%7.5%

💡 Rates vary by bank. Check with your bank for exact rates.

FD vs Other Options

  • FD vs Savings: FD 6-8% vs Savings 3-4%; FD locked, Savings liquid
  • FD vs RD: FD lumpsum, RD monthly; FD slightly higher rate
  • FD vs PPF: PPF 7.1% tax-free vs FD 7% taxable; PPF 15-year lock-in
  • FD vs Mutual Funds: FD safe 7% vs MF risky 10-12%; FD guaranteed

When to Choose FD?

  • Need guaranteed returns (no market risk)
  • Short to medium term (1-5 years)
  • Park emergency fund surplus
  • Senior citizens seeking regular income
  • Conservative investors avoiding equity

Pro Tips

  • Ladder FDs (different maturities) for liquidity + higher returns
  • Choose cumulative for highest returns (compounding)
  • Compare rates across banks (small finance banks offer 8-9%)
  • Senior citizens: Always mention age for bonus rate
  • Submit Form 15G/15H if no tax liability
  • Avoid premature withdrawal (loses ~1% interest)