Calculate the maturity amount and interest earned on your Recurring Deposit. Plan your monthly savings with different RD schemes and tenure options.
A Recurring Deposit (RD) is a special kind of term deposit offered by banks and financial institutions where you can deposit a fixed amount every month for a predetermined period and earn interest on it. It's an ideal investment option for people who want to save a small amount every month and earn a reasonable return on it.
For a ₹5,000 monthly RD at 6.5% interest for 5 years with quarterly compounding:
Total Deposits: ₹3,00,000
Maturity Amount: ₹3,51,435
Total Interest: ₹51,435
Effective Annual Rate: 6.66%
Key features of Recurring Deposits:
RD vs FD: RD allows monthly deposits while FD requires lump sum investment.
RD vs SIP: RD offers guaranteed returns while SIP returns depend on market performance.
RD vs PPF: PPF has 15-year lock-in with tax benefits, RD has flexible tenure.
RD is suitable for salaried individuals who want to save a fixed amount monthly with guaranteed returns and capital protection.
For compound interest RD:
Where:
M = Maturity Amount
P = Monthly Deposit
r = Annual Interest Rate (decimal)
n = Compounding frequency per year
t = Time in years
Where n = number of months
• SBI: 6.50% - 7.00%
• HDFC: 6.50% - 7.25%
• ICICI: 6.50% - 7.25%
• Axis Bank: 6.75% - 7.50%
• Post Office: 6.70%