FD Calculator

A Fixed Deposit (FD) is a financial instrument offered by banks and financial institutions that allows individuals to deposit a lump sum of money for a fixed tenure at a predetermined interest rate.

When you open an FD account, you deposit a specific amount of money with the bank for a fixed period, known as the tenure. The bank pays you interest at regular intervals, typically monthly, quarterly, or annually, and returns the principal amount at maturity.

Users input information such as their financial goal amount, timeline for achieving the goal, current savings, expected returns on investments, and other relevant details. The calculator then computes the required savings or investment amount.

The minimum and maximum tenure for FDs can vary from one bank to another but usually ranges from 7 days to 10 years. Some banks offer special tenures as well.

The minimum deposit amount for FDs varies by bank and can be as low as ₹1,000 or even less. There is typically no maximum limit for FD deposits, although interest rates may vary based on the amount.

Common types of FDs include regular FDs, tax-saving FDs (which offer tax benefits under specific conditions), senior citizen FDs (with higher interest rates for seniors), and special FDs with unique features offered by some banks.

Interest on FDs is calculated using a predetermined interest rate applied to the principal amount. It can be compounded quarterly, semi-annually, or annually, depending on the terms of the FD.

FDs are generally considered safe investments because they are offered by banks and financial institutions that are regulated and often government-insured. However, there is still some level of risk, especially if the bank faces financial difficulties.

Yes, you can withdraw your FD prematurely, but it may come with penalties and lower interest rates. The specific terms and penalties vary by bank.

If you do not withdraw your FD after maturity, most banks will automatically renew it for the same tenure or a specified period at the prevailing interest rate. You can also choose to withdraw the funds or reinvest in a different scheme.

Yes, the interest earned on FDs is taxable as per your income tax slab. However, you can claim a deduction under Section 80TTB of the Income Tax Act if you are a senior citizen.

Yes, many banks offer the option to take a loan against your FD, where the FD serves as collateral. The loan amount is typically a percentage of the FD principal.

Yes, many banks offer the convenience of opening FD accounts online through their internet banking or mobile banking platforms.

Before investing in an FD, consider factors like the interest rate, tenure, withdrawal penalties, and the overall financial goals you want to achieve.

Yes, you can have multiple FDs with different tenures and across different banks, allowing you to diversify your investments and meet various financial goals.

A tax-saving FD comes with a lock-in period and offers tax benefits under Section 80C of the Income Tax Act, while a regular FD has no lock-in period and is subject to regular taxation.