RD Interest Calculator
Find how much interest you earn on your recurring deposit. Enter monthly contribution, rate and tenure.
Calculate RD Interest
RD interest
Each monthly installment is compounded for the remaining tenure. Interest is the difference between maturity and what you put in.
FAQs
Key Terms
- Maturity amount
- Final value received at deposit end: principal plus accumulated interest.
- Compounding
- Interest earned on both principal and previously earned interest.
- Annualized rate
- Interest rate quoted for one year; converted internally for period-wise calculations.
Benefits of This Calculator
- Quickly compare tenure and rate combinations before locking deposits.
- Understand maturity, principal, and interest split through chart-style outputs.
- Use formula and FAQ context to validate bank app numbers confidently.
Related Calculators
Just the interest, separated out
This calculator strips the maturity value down to the bank's contribution alone, so you can see the cost of waiting versus the cost of paying. Two RDs with the same monthly installment but different tenures will earn very different amounts of interest — not in proportion to the tenure, but faster, because the early installments compound for longer. That is why a 5-year RD typically earns more than twice the interest of a 30-month RD at the same rate.
For tax planning, note that the interest you see here is added to your income from other sources in the year it accrues. Since 1 April 2019, banks deduct TDS at 10% on RD interest above ₹40,000 a year (₹50,000 for seniors). Submitting Form 15G or 15H at the start of the financial year is the cleanest way to stop unnecessary TDS if your total income is below the exemption limit.
Interest comparison: ₹3,000/month at 7.1%
- 1-year RD
- ₹1,395 interest on ₹36,000 deposited
- 3-year RD
- ₹12,395 interest on ₹1,08,000 deposited
- 5-year RD
- ₹35,930 interest on ₹1,80,000 deposited
The 5-year RD earns nearly 2.9× the interest of the 3-year version, even though you only deposit 1.67× more. Time inside the deposit is doing most of the work.