RD Calculator
Calculate your recurring deposit maturity amount, total investment, and interest earned using our free RD Calculator.
RD Details
Enter your recurring deposit details.
RD Maturity
Your estimated recurring deposit returns.
Your RD result will appear here
Enter your monthly deposit, interest rate and tenure to calculate your maturity amount.
What is a Recurring Deposit?
A Recurring Deposit, commonly known as an RD, is a savings investment where you deposit a fixed amount of money at regular intervals, usually every month, for a selected period. The bank pays interest on the deposits and the accumulated amount is paid at maturity.
How to Use the RD Calculator
Enter the amount you plan to deposit every month, the expected annual interest rate, and your RD tenure. The calculator estimates your total deposits, interest earned, and maturity amount.
RD Calculator Formula
Recurring deposit interest is commonly calculated using quarterly compounding. The maturity calculation depends on the monthly installment, interest rate, and number of installments.
Maturity Amount = P × [((1 + i)ⁿ - 1) / (1 - (1 + i)⁻¹ᐟ³)]
P = Monthly deposit, i = annual interest rate ÷ 400, and n = number of monthly installments.
Example of an RD Investment
Suppose you deposit ₹5,000 every month for 5 years at an annual interest rate of 6.5%. You would make 60 monthly deposits, resulting in a total principal contribution of ₹3,00,000. The final maturity amount will be higher because of the interest earned during the RD period.
RD vs Savings Account
An RD encourages regular savings by requiring a fixed deposit every month. A savings account generally provides easier access to your money, while an RD is designed for disciplined saving over a predefined period.
Frequently Asked Questions
What is an RD?
RD stands for Recurring Deposit. It allows you to deposit a fixed amount regularly and earn interest over a predetermined tenure.
How is RD interest calculated?
RD interest is commonly calculated using periodic compounding, with Indian bank RDs typically using quarterly compounding conventions.
Can I calculate RD maturity for different tenures?
Yes. You can enter the tenure in either months or years to estimate the maturity amount.
Note: This calculator provides an estimated RD maturity amount. Actual maturity values may vary between banks because of their specific interest calculation, rounding, deposit-date, and applicable RD rules.