An Introduction to Fixed Deposit (FD) Calculator Online in India


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Fixed deposit (FD) is an investment option that allows an investor to invest funds for a fixed tenure to earn good returns at fixed rate of interest. The interest earned in a FD can be calculated with the help of a FD Calculator, which is an online tool that helps an investor to estimate returns on FD. 

Let us understand in this post all about Online Fixed Deposit (FD) Calculator in India starting with the meaning of FD.

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What is a Fixed Deposit (FD)?

FD is an investment option that allows an investor to invest a particular fund/capital for a fixed tenure to earn good returns at a fixed rate of interest. To achieve their financial goal, an investor must consider a maturity amount along with selecting the duration and compounding period of FD to get the desirable interest rate on the investment.

Computing the maturity amount manually might not result in getting the exact value that can be earned. Hence, it is better to use an FD Calculator for precise evaluation of the maturity amount. The tenure of the FD can range from 7 days minimum to up to 10 years.

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What is a Fixed Deposit (FD) Calculator?

The FD Calculator is a tool that is used to compute the rate of interest on a FD before planning to invest in the fund. It is recommended to know the precise interest rate you are likely to earn on the FD before putting the sum in the fund. This way you will come to know the exact maturity money you would receive for a particular tenure and at the particular interest rate paid during the tenure of the FD.

To check the return that is earned on the principal amount that you invest, you must calculate the amount of compound interest. The compound interest involves several calculations which are of complex nature. These complex calculations are difficult to get done manually. And hence you need to use the online FD calculator for doing calculations smoothly.

The online FD Calculator is a user-friendly tool where you submit information such as the deposit amount of FD, the tenure of the FD, as well as the interest rate of the FD offered by the financial institution, to know the maturity amount.

The online FD calculator computes the maturity online and gives you the result in no time.  Hence, it makes your decision to invest the correct amount so that you can earn the desired return on your FD.

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How to Use Paybima Fixed Deposit FD Calculator?

To use the Paybima FD maturity calculator, you need to submit some details in the tool. You can calculate the maturity amount of your FD as many times as possible so that you can choose the desired returns. This is a tool that is very easy to use and offers results that are almost accurate.

Below are the steps to follow to use the online FD interest calculator to get your desired interest rates:

  • The first step is to submit the sum you want to invest in the FD in the tool
  • The next step is to submit the interest rate in the space provided
  • Now, you must submit the tenure or term of the FD. The tenure is the time duration for which you want to invest the amount in the FD
  • The last input that is needed to submit in the FD calculator is the rate of compounding. It can be either yearly, half-yearly or quarterly
  • Once these inputs are offered, the FD calculator generate the maturity amount within seconds to give you below details:
  • Amount Invested
  • Earned interest in totality
  • Total maturity or value you will earn

How to Calculate the Maturity Amount of Your FD? 

An FD amount can be calculated manually to get the maturity amount. However, it is a very cumbersome process and may offer inaccurate results. Thus, investors these days generally use online FD calculators to avail precise figures by submitting a few basic details.

Reasons to make use of an FD calculator:

  • It is very difficult to calculate maturity amount taking into account multiple variables and to get accurate results manually
  • The manual process is cumbersome and tiresome and is not smooth for comparing FD returns difficult
  • The FD calculator computes the maturity values within seconds

How to calculate Simple Interest —Formula

The formula used by the calculator to calculate FDs simple interest rate:

M = P + (P X R X T/100)


  • P = principal
  • I = interest
  • T = the term of FD

For instance:

Assume an investor invests INR 1 lakh at 6% rate of interest for a duration of 1 year on yearly compounding frequency. So, as per the formula, the calculation is going to be;

1,06,000 = 1,00,000+ (1,00000 X 6X 1) /100

How to calculate Compound Interest? 

Here’s the formula to compute compound interest:

M = P + P ((1+ I/100) T – 1)

  • Here, P = principal
  • I = interest
  • T = the term of FD

Here’s an example; for instance, take the value of M = 1,34,686. So as per the formula;

1,34,686 = 1,00,000 + 1,00,000 ((1+6/100) 5 -1)

Benefits of Paybima FD Calculator

Here are some benefits of using FD calculators:

  • FDs come with tenure that is flexible and ranges between 7 days to 10 years. With the help of an FD calculator, you can select the best duration of the FD to accomplish the desired returns
  • With the help of a FD calculator, you can choose a compounding rate of frequency to suit your requirement
  • The calculator supports you to know the total maturity as well as the total interest amount

FD Calculator Approaches

An FD calculator is a freely available online tool that offers correct details of FD maturity value. Here, you can choose one of the two approaches available in this regard. They are;

  • Investment Amount Approach
  • Target Amount Approach

These two approaches can be used to find the right investment amount that should be invested to get the desired maturity value.

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To Sum Up

From the above discussion, we can see that there are several benefits of an FD tax calculator. The tool provides valuable information related to your FD maturity, which would otherwise take a lot of time to compute manually.

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FAQs on Fixed Deposit (FD) Calculator Online

Is there any minimum and maximum tenure for Fixed Deposit schemes?

Yes, in India you can get an FD done for the shortest tenure of 7 days to up to 10 years depending on your choice and requirement. 

What is the maximum monthly income that one can earn on his/her FD?

The interest earned monthly on your FD amount can be calculated by multiplying the FD interest rate with the principal amount and tenure, and dividing it by 12. You can simply use a FD monthly payout calculator to do the calculations.

Can interest earned on FD be withdrawn?

Yes, if the investor has deposited the money in an FD fund at simple interest, the interest earned can be withdrawn on a monthly basis.

Who all should invest in FDs?

People who are risk-averse or investors who want to earn interest on their idle funds are best suited for FD investment. You can use a bank FD calculator to compute the maturity amount.

What is the FD maturity amount?

The maturity value of an FD is the sum of the principal amount invested and the interest income earned on the amount. 

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Mar 20, 2023
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PayBima Team
PayBima is an Indian insurance aggregator on a mission to make insurance simple for people. PayBima is the Digital arm of the already established and trusted Mahindra Insurance Brokers Ltd., a reputed name in the insurance broking industry with 17 years of experience. PayBima promises you the easy-to-access online platform to buy insurance policies, and also extend their unrelented assistance with all your policy related queries and services.

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