What is the current FD interest rate?

FD rates vary by bank and tenure. Most banks offer 6.5%–8% for regular customers and 7%–9% for senior citizens. Check your bank's website for current rates.

Is FD interest taxable?

Yes, FD interest is added to your income and taxed at your income tax slab rate. TDS of 10% is deducted if interest exceeds ₹40,000 per year (₹50,000 for seniors).

What is the difference between cumulative and non-cumulative FD?

Cumulative FD pays all interest at maturity (compounded). Non-cumulative FD pays interest periodically (monthly/quarterly).

Can I break an FD before maturity?

Yes, but premature withdrawal usually attracts a penalty of 0.5%–1% on the interest rate. Some banks offer penalty-free FDs.

What is the maximum FD amount insured by DICGC?

DICGC (RBI's deposit insurance) covers up to ₹5 lakh per depositor per bank for both principal and interest.

🏛️

FD Calculator

Calculate maturity amount and interest for fixed deposits with any bank.

Deposit Amount

₹10,000₹10.00 Cr

Interest Rate (% p.a.)

3.00%15.00%

Tenure (Years)

1 yr30 yrs

Compounding

Maturity Amount

₹6.16 L

Total Interest

₹1.16 L

Effective Annual Rate

7.19%

Interest Breakdown

Period	Interest	Balance
Q1 (Year 1)	₹8,750	₹5.09 L
Q2 (Year 1)	₹8,903	₹5.18 L
Q3 (Year 1)	₹9,059	₹5.27 L
Q4 (Year 1)	₹9,217	₹5.36 L
Q5 (Year 2)	₹9,379	₹5.45 L

About the FD Calculator

Fixed Deposits (FDs) remain the most popular savings instrument in India, with over ₹200 lakh crore deposited across banks. FD interest rates vary significantly by bank and tenure - SBI offers 6.5–7.0%, while small finance banks offer up to 9%+. Senior citizens typically get 0.5% additional interest. This calculator helps you compare FDs and find the best option for your goals.

FD Maturity Amount (Cumulative)

A = P × (1 + r/n)^(n×t)

P = Deposit amount · r = Annual interest rate · n = Compounding frequency (quarterly = 4) · t = Tenure in years · For simple interest FDs: A = P × (1 + r×t/100)

Worked Example

₹5 lakh FD at 7.5% for 3 years (quarterly compounding)

Deposit:₹5,00,000

Rate:7.5% p.a.

Tenure:3 years

Compounding:Quarterly

Maturity amount ≈ ₹6,27,440 · Interest earned ≈ ₹1,27,440 · Effective yield ≈ 7.71%

Tips & Insights

1
TDS is deducted at 10% if FD interest exceeds ₹40,000/year (₹50,000 for seniors). Submit Form 15G/15H to avoid TDS if you're below the tax bracket.
2
DICGC insures up to ₹5 lakh per depositor per bank - spread large deposits across banks.
3
Laddering FDs (different maturity dates) gives both liquidity and higher average returns.
4
Small Finance Banks and NBFCs offer higher rates but carry more risk - check credit ratings before investing.
5
Pre-mature withdrawal typically costs 0.5–1% penalty on the applicable interest rate - avoid it for long-term goals.

Why this matters for you

FDs are the default savings choice for most Indian households due to guaranteed returns and deposit insurance. But choosing the wrong tenure or missing TDS implications can cost thousands. Understanding FD math helps you choose the right instrument for each goal - FD for short-term, equity SIP for long-term.