Calculate guaranteed Recurring Deposit (RD) total maturity value, quarterly compounding interest, step-up deposit growth, senior citizen rate bonuses, and TDS tax deductions.
Total Maturity Amount
Total Interest Earned
Total Invested Capital
How RD Calculator — Recurring Deposit Interest & Maturity Planner calculations work.
A Recurring Deposit (RD) is a guaranteed investment scheme offered by commercial banks and post offices that allows individuals to deposit a fixed sum of money each month over a set tenure, earning high compound interest.
Bank RDs compound interest on a quarterly basis. Each monthly deposit earns interest for its remaining tenure: A = Σ [ P × (1 + R/400)^(4 × (N - k + 1) / 12) ], where P is monthly deposit, R is annual rate, N is total months, and k is the installment number.
An RD involves fixed monthly deposits with guaranteed interest. An FD involves a single upfront lump sum with guaranteed interest. A SIP involves fixed monthly deposits into mutual funds with variable, market-linked equity returns.
Most commercial banks grant senior citizens (age 60+) an extra interest rate premium of +0.50% to +0.75% per annum over standard published RD rates.
Yes, under Section 194A, banks deduct 10% TDS if total annual interest across RD/FD deposits exceeds statutory limits ($500 / ₹40,000 for regular investors; ₹50,000 for senior citizens). If PAN is not provided, 20% TDS applies.
Submit Form 15G (for individuals under 60) or Form 15H (for senior citizens) at the beginning of the financial year if your total taxable income is below the statutory basic exemption limit.
A Step-Up RD automatically increases your monthly installment contribution by a fixed percentage (e.g. 10%) each year as your income grows, accelerating your guaranteed wealth accumulation.
If you default on an RD installment, banks charge a small penalty fee (typically ₹1.50 per ₹100 per month) and reduce total accrued interest earnings.
Yes, commercial banks permit premature closure, but an interest rate penalty of 0.5% to 1.0% is levied below the rate applicable for the actual tenure completed.
Recurring Deposit tenures range from a minimum of 6 months up to a maximum of 10 years (120 months) in 3-month or 6-month increments.
Inflation reduces the real purchasing power of money over time. An RD yielding 7% interest in a 4% inflation environment provides a real pre-tax return of approximately 3%.
Generally, partial withdrawals are not allowed on bank RDs. However, some banks offer loan or overdraft facilities up to 90% of the accumulated RD balance.
Post Office RDs are 5-year government-backed schemes offering sovereign safety and competitive quarterly compounded rates, backed directly by the Ministry of Finance.
Goal Seeker calculates the exact monthly deposit required to achieve a desired target maturity corpus (e.g., $15,000 for a car down payment or vacation fund).
RD interest income is added to your total annual income and taxed as per your applicable marginal tax slab under 'Income from Other Sources'.
RDs combine guaranteed principal safety, steady capital accumulation, and predictable liquidity, making them ideal low-risk emergency reserves.
The Bank Rate Matrix benchmarks your monthly deposit across top commercial banks (SBI, Post Office, HDFC, ICICI, Axis, PNB) to highlight the best rate offers.
Commercial bank and post office RDs compound interest on a quarterly basis (every 3 months), which yields slightly higher returns than annual simple interest.
Most banks allow investors to open an RD account with as little as $10 or ₹100 per month.
Yes, CalcPlatform's RD Calculator allows instant exports of audit PDF reports, CSV, Excel schedule tables, and raw JSON data.