FD vs RD Calculator India — Fixed Deposit vs Recurring Deposit
Fixed Deposit Maturity · Bank Comparison · Tax Impact · Senior Citizen Rates
FD (lumpsum) and RD (monthly) are both fixed-income products, but serve different needs. FD is better if you have surplus funds now. RD suits those who want to save gradually — like forced monthly savings. But FD almost always gives higher maturity because all funds start earning interest from day one, vs RD where money trickles in monthly. See the exact comparison for your scenario.
🏦 Fixed Deposit Calculator
📅 Interest Payout Schedule
| Quarter | Period | Interest Payout | Cumulative Interest | Balance |
|---|---|---|---|---|
| Q1 | Jun 2026 | ₹8,875 | ₹8,875 | ₹5,08,875 |
| Q2 | Sept 2026 | ₹9,033 | ₹17,908 | ₹5,17,908 |
| Q3 | Dec 2026 | ₹9,193 | ₹27,100 | ₹5,27,100 |
| Q4 | Mar 2027 | ₹9,356 | ₹36,456 | ₹5,36,456 |
| Q5 | Jun 2027 | ₹9,522 | ₹45,979 | ₹5,45,979 |
| Q6 | Sept 2027 | ₹9,691 | ₹55,670 | ₹5,55,670 |
| Q7 | Dec 2027 | ₹9,863 | ₹65,533 | ₹5,65,533 |
| Q8 | Mar 2028 | ₹10,038 | ₹75,571 | ₹5,75,571 |
| Q9 | Jun 2028 | ₹10,216 | ₹85,787 | ₹5,85,787 |
| Q10 | Sept 2028 | ₹10,398 | ₹96,185 | ₹5,96,185 |
| Q11 | Dec 2028 | ₹10,582 | ₹1,06,767 | ₹6,06,767 |
| Q12 | Mar 2029 | ₹10,770 | ₹1,17,538 | ₹6,17,538 |
📐 How FD Returns Are Calculated
Compound Interest Formula (Quarterly):
📖 Example Calculation
Deposit: ₹5,00,000 | Rate: 7.1% p.a. | Period: 3 years | Quarterly compounding
💼 Real Life Use Case
₹25L FD @ 7.5% → Monthly interest ₹15,625 as pension supplement
₹5L FD for 3 yrs @ 7.1% → ₹6.23L ready for property purchase
₹8L FD for 5 yrs @ 7.5% → ₹11.5L for child's college fees
6-month expenses in FD — safe, insured, earns more than savings
Frequently Asked Questions
What is the difference between FD and RD?
FD: invest lumpsum once, earn interest on full amount for full tenure. RD: invest fixed amount every month, earn interest on increasing balance. FD rate = RD rate at most banks (same interest rate grid). FD gives higher absolute interest as principal is deployed from day 1.
Can I break RD before maturity?
Yes — premature withdrawal allowed but with penalty (0.5–1% lower rate). Some banks charge flat penalty of ₹500–1,500 for premature closure. RD premature closure is easier than FD for smaller amounts as each month's installment has a different maturity date. Check bank policy before opening.
What happens if I miss an RD installment?
Banks charge penalty per missed installment: typically ₹1.50–₹2 per ₹100 per month of default. For ₹10,000 RD, missing 1 month = ₹150–200 penalty. Continued non-payment for 6 months may auto-close the RD. Set auto-pay to avoid this — RD discipline is its main benefit.
Which is better — FD or RD for short-term goal?
For 1–3 year goals: if you have lumpsum, FD wins (higher interest, simpler). If saving monthly (salary), RD suits better. For goals like vacation (12 months away), ₹10K/month RD at 7% = ₹1.24L total invested, maturity ₹1.25L — better than keeping in savings at 3–4%.
📌 Key Takeaways
- ✅ FD calculator India helps compare bank rates and compute exact maturity amount
- ✅ Quarterly compounding gives higher returns than simple interest or monthly payout FDs
- ✅ Senior citizens get 0.25–0.50% extra interest on FD across most banks
- ✅ FD interest is taxable — TDS @ 10% deducted if interest exceeds ₹40,000/year
- ✅ DICGC insures deposits up to ₹5 lakh per depositor per bank
- ✅ FD Ladder strategy gives both liquidity and better returns than single FD
- ✅ Tax-saving FD under 80C: 5-year lock-in, max ₹1.5L deduction per year