How to use the rd calculator
- Enter your monthly deposit.
- Enter the rate and tenure in years.
- See the maturity amount and total interest.
About this tool
A recurring deposit lets you save a fixed amount every month at a fixed rate. Enter the monthly deposit, rate and tenure to see the maturity amount and interest. Each monthly installment earns interest from the month it is deposited, compounded quarterly, as banks usually do.
How an RD grows
Each monthly instalment earns interest from the month it is deposited until maturity, and banks compound that interest every quarter. Early instalments therefore earn more than late ones. The calculator adds up the final value of every instalment.
Example: ₹5,000 a month at 6.5%
| Tenure | You deposit | Maturity amount |
|---|---|---|
| 2 years | ₹1,20,000 | ₹1,28,425 |
| 5 years | ₹3,00,000 | ₹3,54,954 |
| 10 years | ₹6,00,000 | ₹8,44,940 |
On the 5-year RD, ₹54,954 of the maturity amount is interest. Use the rate your bank actually offers for your tenure, because RD rates differ by bank and tenure and change over time.
RD compared with FD and SIP
An RD suits you if you earn monthly and want a fixed, low-risk return without a large lump sum. An FD needs the full amount upfront. A mutual fund SIP can earn more, but its value rises and falls. The SIP calculator on this site lets you compare the same monthly amount side by side.
Rules to know
- Missing an instalment usually brings a small penalty, and repeated misses can close the account.
- Interest on an RD is taxable, and banks deduct TDS above the same yearly limits as FDs.
- Closing before maturity reduces the rate, so choose a tenure you can complete.
- The calculator assumes every instalment is paid on time and the rate stays fixed.
Frequently asked questions
How is RD interest calculated?
Each monthly installment earns interest, compounded quarterly, from the month it is deposited until maturity.
What if I miss a deposit?
Banks charge a small penalty and results will be lower. This calculator assumes every deposit is on time.
RD or SIP?
RD gives a fixed, low-risk return. SIP in equity funds can earn more but its value can fall.
What is the minimum RD tenure?
It varies by bank, usually from about 6 months to 10 years. Check with your bank.
Can I change the RD amount later?
Usually no. The monthly amount is fixed when you open the account. Open a second RD if you want to save more.