Which bank gives highest FD interest rate in India?

Small finance banks like Unity SFB, Suryoday SFB typically offer higher FD rates (8-9%) compared to large banks like SBI, HDFC (6.5-7.5%). Always verify current rates on the bank's official website.

What is the difference between simple and compound interest FD?

Simple interest FD pays interest only on the principal. Compound interest FD adds interest back to the principal and earns interest on interest, resulting in higher returns over time.

Is FD interest taxable in India?

Yes. FD interest is added to your income and taxed as per your income tax slab. Banks deduct TDS at 10% if annual FD interest exceeds ₹40,000 (₹50,000 for senior citizens).

What is quarterly compounding in FD?

Quarterly compounding means interest is calculated and added to the principal 4 times a year (every 3 months). Most Indian banks use quarterly compounding for FDs.

Can I calculate FD for senior citizens?

Yes. Senior citizens typically get 0.25% to 0.50% higher interest rates. Enter the senior citizen rate in the interest rate field to get accurate results.

What is the minimum FD tenure?

Most banks offer FD with minimum tenure of 7 days. This calculator supports tenure from 1 month to 10 years.

Free Tool · No Signup

FD Calculator 🏧

Calculate Fixed Deposit maturity amount, total interest earned and year-wise breakdown. Supports all compounding frequencies used by Indian banks.

Principal Amount (₹)

₹

Annual Interest Rate (%)

Tenure — Years

Tenure — Months

Compounding

Maturity Amount

—

Principal

—

Interest Earned

—

Principal Invested

—

Interest Earned

—

Effective Return

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📊 Year-wise Breakdown

Year	Opening Balance	Interest Earned	Closing Balance

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How to Use the FD Calculator

Enter Principal Amount

Type the amount you want to invest in the Fixed Deposit.

Enter Interest Rate

Enter the annual interest rate your bank offers. Senior citizens can enter their special rate.

Set Tenure

Enter the FD tenure in years and months. For example, 1 year 6 months = 1yr + 6mo.

Select Compounding Frequency

Most Indian banks compound quarterly. Check your bank's FD terms and select accordingly.

View Results

Instantly see your maturity amount, total interest, effective return and a complete year-wise breakdown.

About This FD Calculator

TheAshNow FD Calculator uses the standard compound interest formula used by all RBI-regulated banks in India. All calculations run in your browser — no data is uploaded or stored anywhere.

FD Maturity Formula

Fixed Deposit maturity is calculated using the compound interest formula:

M = P × (1 + r/n)^n×t

Where:
M = Maturity Amount
P = Principal Amount
r = Annual Interest Rate (decimal, e.g. 7% = 0.07)
n = Compounding frequency per year (4 for quarterly)
t = Tenure in years

For Partial Months

When the tenure includes months (not a whole number of years), this calculator uses the exact formula: it first calculates compounding for whole years, then applies simple interest for the remaining months — exactly as done by most Indian banks including SBI, HDFC, ICICI and others.

Compounding Frequencies

Quarterly (4x/year): Most common. Used by SBI, HDFC Bank, ICICI Bank, Axis Bank.
Monthly (12x/year): Used by some small finance banks and corporate FDs.
Half-Yearly (2x/year): Less common. Some co-operative banks.
Annually (1x/year): Equivalent to simple interest for 1 year tenures.

TDS on FD Interest

FD interest is taxable as per your income tax slab. If your total FD interest from a bank exceeds ₹40,000 in a financial year (₹50,000 for senior citizens), the bank will deduct TDS at 10%. This calculator shows gross returns before TDS deduction.

Frequently Asked Questions

FD maturity is calculated using the compound interest formula: M = P × (1 + r/n)^(n×t), where P is principal, r is annual rate (decimal), n is compounding frequency per year, and t is tenure in years. For partial months, simple interest is applied to the remaining period.

Most Indian banks including SBI, HDFC, ICICI, and Axis Bank use quarterly compounding for regular FDs. Check your FD receipt or bank's website to confirm. Quarterly compounding gives slightly more returns than half-yearly or annual.

Senior citizens typically receive 0.25% to 0.50% higher interest rates. Simply enter the senior citizen interest rate in the "Annual Interest Rate" field. The calculation formula remains the same.

Yes. FD interest is added to your taxable income and taxed as per your slab rate. If FD interest exceeds ₹40,000 (₹50,000 for senior citizens) in a year from one bank, 10% TDS is deducted at source. Submit Form 15G/15H to avoid TDS if your total income is below the taxable limit.

FD (Fixed Deposit) requires a lump sum investment at once. RD (Recurring Deposit) allows monthly installments. FDs generally offer slightly higher interest rates. FD is better if you have a large amount to invest; RD is better for regular monthly savings.

Tax Saver FD has a mandatory 5-year lock-in period and qualifies for deduction under Section 80C of the Income Tax Act, up to ₹1.5 lakh per year. The interest earned is still taxable, but the principal invested reduces your taxable income.

Yes, 100% free. No signup, no registration required. All calculations happen instantly in your browser. No data is sent to any server.

This calculator uses the exact compound interest formula as specified by RBI and used by all major Indian banks. For tenures with partial months, it applies simple interest for the remaining period — the same method used by SBI, HDFC, ICICI, and Axis Bank. Accuracy is 99.99% for standard FD products.