RD Calculator
Calculate the maturity value of your Recurring Deposit.
Frequently Asked Questions
What is an RD calculator?
An RD calculator helps you find the maturity amount by entering your monthly deposit, interest rate, and tenure.
How is RD interest calculated?
Banks use quarterly compounding for RDs. Each monthly installment earns interest for the remaining quarters.
Is RD interest taxable?
Yes. RD interest is fully taxable at your income slab. TDS applies if total interest exceeds ₹40,000 per year.
What is the minimum deposit for RD?
Most banks allow RDs starting from ₹100/month. Post Office RD minimum is ₹100/month.
Can I withdraw RD before maturity?
Yes, but premature withdrawal attracts a penalty (typically 1% lower interest rate).
What is the difference between RD and SIP?
RD offers guaranteed bank returns. SIP in mutual funds carries market risk but historically delivers higher returns over long terms.
Is RD safe?
Yes. Bank RDs are insured under DICGC up to ₹5 Lakhs. Post Office RDs are backed by the Government of India.
Which is better: RD or FD?
FD is for lump-sum investment. RD is for monthly savings. FD typically earns more for the same amount due to full compounding from day one.
Can I calculate RD for post office?
Yes. Enter the current Post Office RD interest rate (check MoF website) and your monthly deposit amount.
How is RD different from PPF?
PPF has a 15-year lock-in but offers tax-free returns. RDs are more flexible (6 months to 10 years) but interest is taxable.
What is a recurring deposit loan?
Many banks offer loans against RDs (up to 80–90% of deposits). The RD continues to earn interest while you use the loan.
What happens on missed RD installments?
Banks charge a small penalty for missed installments, typically ₹1.50 per ₹100 per month. Repeated misses may result in account closure.