RD Calculator – Recurring Deposit Maturity Calculator
Estimate your recurring deposit maturity value with quarterly compounding.
Total Deposited
₹0
Interest Earned
₹0
Maturity Value
₹0
What Is a Recurring Deposit (RD) Calculator?
A Recurring Deposit calculator helps you estimate the maturity value of your RD before you start investing. Unlike a fixed deposit where you invest a lump sum, an RD lets you invest a fixed amount every month, making it ideal for salaried individuals who want to build savings gradually. This calculator shows you exactly how much your regular monthly deposits will grow into over your chosen tenure.
How Is RD Interest Calculated?
Banks in India calculate RD interest using quarterly compounding. Each monthly instalment earns compound interest for the remaining duration of the deposit. For example, the first month's deposit earns interest for the full tenure, while the last month's deposit earns interest for just one month. The interest on each instalment is compounded quarterly at the rate (1 + r/4)remaining quarters, and the final maturity value is the sum of all these individual amounts. This method ensures you earn interest on interest every quarter.
Benefits of Using This RD Calculator
Planning your finances becomes much easier when you know exactly what your deposits will yield at maturity. This calculator lets you experiment with different monthly amounts, interest rates, and tenures so you can find the combination that meets your savings goal. All computation runs locally in your browser, keeping your data private. Whether you are saving for a vacation, an emergency fund, or a down payment, this tool helps you make informed decisions about your recurring deposit investments across any bank in India.
Disclaimer: This calculator is for informational and educational purposes only. The results are approximate and may differ from actual bank calculations due to rounding, holidays, or institution-specific policies. This does not constitute financial advice. Please consult your bank or a certified financial advisor before making investment decisions.
Frequently Asked Questions
What is a Recurring Deposit?
A Recurring Deposit (RD) is a savings scheme where you deposit a fixed amount every month for a predetermined tenure. It earns compound interest (typically quarterly) and is ideal for salaried individuals who want to build savings gradually without a lump-sum investment.
How is RD maturity calculated?
RD maturity is calculated by summing the compound interest earned on each monthly instalment. Each deposit earns quarterly compounded interest for the remaining tenure. The formula for each instalment is P × (1 + r/4)^(remaining quarters), and the maturity value is the total of all such amounts.
What is the minimum RD tenure?
The minimum RD tenure varies by bank but is typically 6 months. Most banks offer RD tenures ranging from 6 months to 10 years. Some banks may also offer flexible tenures in multiples of 3 months.
Can I withdraw RD before maturity?
Yes, most banks allow premature withdrawal of RD, but a penalty is usually charged (typically 0.5% to 1% reduction in the applicable interest rate). Some banks may not allow partial withdrawal and require you to close the entire RD account.