FD Calculator

Understanding the result

Maturity value is what the bank pays at the end: your deposit plus interest. The figures are before tax; FD interest is taxable as income, and banks may deduct tax at source.

With interest paid at maturity (a cumulative FD), each period's interest is added to the deposit and earns interest itself.

With a payout (a non-cumulative FD), the bank pays the interest into your account at the end of each period and returns the deposit at maturity. Nothing compounds, so the total interest is lower than a cumulative FD earns at the same rate. Each payout is rounded to the nearest rupee.

For a tenure past a year, the year-by-year breakdown follows the deposit: a cumulative FD's opening balance, interest and closing balance each year, or a payout FD's interest paid each year and in total, the broken period paid with the deposit. Export CSV downloads it.

How to use it

• FD amount — the sum you deposit.
• Annual interest rate — the rate the bank quotes, from 0.1% to 100%.
• FD tenure — in years (1 to 100), months (1 to 1,200) or days (7 to 3,650).
• Interest payout — at maturity, or monthly, quarterly, half-yearly or yearly.
• Compounding frequency — for interest paid at maturity; most Indian banks compound quarterly.

How it works

Interest compounds at the annual rate divided by the number of compounding periods in a year, over each whole period of the tenure. A tenure in days is converted using a 365-day year.

The days left after the last whole period earn simple interest on the compounded amount, as banks pay on broken periods. A tenure shorter than one period — under three months with quarterly compounding — earns simple interest throughout. The maturity value is rounded to the nearest rupee.

A quarterly, half-yearly or yearly payout is simple interest on the deposit for that period. A monthly payout is discounted: it is the amount that, paid three times and each reinvested at the monthly rate, comes to one quarter's interest, so it is a little under a twelfth of the yearly interest. Banks publish their own discounting methods, and their figures can differ from this one by a rupee.

The days left after the last payout earn simple interest at the full rate, paid with the deposit. A tenure shorter than one payout period has no payouts; all its interest is paid at maturity.

Maturity = P × (1 + R ÷ (100 × n))^w × (1 + R ÷ 100 × d ÷ 365)

P = deposit, R = annual rate %, n = compounding periods a year, w = whole periods in the tenure, d = days after them

Monthly payout = P × R ÷ 400 ÷ ((1 + R ÷ 1200)² + (1 + R ÷ 1200) + 1)

Quarterly, half-yearly or yearly payout = P × R ÷ (100 × payouts a year)

Examples

Interest on ₹1 lakh

Rules and sources

• Payout options — State Bank of India pays term deposit interest quarterly or at maturity, and on request monthly, half-yearly or yearly on deposits of twelve months and above. Monthly interest is paid at a discounted rate.
• Rounding — the Reserve Bank of India directs banks to round interest paid on rupee deposits to the nearest rupee.
• Method — each bank publishes how it calculates interest. The monthly discount here is Bandhan Bank's; TJSB Sahakari Bank's method sets out the simple interest on quarterly and longer payouts and on broken periods.

Your bank's deposit receipt states the payout it will make; the terms it offers, such as the shortest tenure for a monthly payout, are its own.

Sources

• Fixed Deposit: features — State Bank of India
• Reserve Bank of India (Commercial Banks – Interest Rate on Deposits) Directions, 2025, paragraph 7(7) — Reserve Bank of India
• Interest Calculation Methodology for Term Deposits — Bandhan Bank
• Method of Calculation of Interest on Deposits — TJSB Sahakari Bank

Reviewed 11 October 2026

See also

• RD Calculator — to save a fixed amount every month instead.
• Inflation Calculator — to see whether the FD rate keeps up with rising prices.