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RD Calculator

Recurring Deposit Calculator in India

Last Updated 21st Sep 2020

RD calculator calculates the maturity value of the deposited amount depending upon various factors

  • Deposit Amount – This is the minimum amount which you invest in your RD account every month. Minimum Deposit amount varies for every bank and can be as low as ₹ 10.
  • Interest Rate – The amount of interest that you can earn depends on the amount you have deposited in RD account, tenure of RD and interest rate offered by your bank.
  • Deposit Tenure – Maturity value depends on the duration for which you invest money in RD. Generally, RD tenure ranges from 6 months to 10 years.
  • Interest Compound Frequency – This calculates the maturity amount based on monthly deposits you make in the RD account. Generally, the interest on RD is compounded quarterly.
RD Calculator
Investment Offers with High Returns offerOffers
Bank/NBFCs Rate Tenure Action
Bajaj Finance FD7.35%60 MonthsAPPLY
PNB Housing Finance FD7.20%120 MonthsAPPLY
DBS Bank Savings Account5.00%N.A.APPLY

RD Interest Calculator

Bank Interest Rates RD Tenure
SBI Recurring Deposit 5.50% - 5.70% 1 Year - 10 Years
HDFC Bank Recurring Deposit 4.50% - 5.75% 6 Months - 120 Months
ICICI Bank Recurring Deposit 4.75% - 6.00% 6 Months - 10 Years
Axis Bank 6.05% - 6.50% 9 Months - 10 Years
Kotak Bank 5.00% - 5.50% 12 Months - 10 Years
IDFC First Bank 6.75% - 7.25% 6 Months - 27 Months
Bank of Baroda 4.50% - 5.70% 180 Days - 10 Years
Citibank 3.00% - 3.25% 365 Days - 731 Days
IDBI Bank 5.75% - 5.90% 1 Year - 10 Years
Indian Bank 3.95% - 5.25% 180 Days - 10 Years
Indian Overseas Bank 5.75% - 6.80% 180 Days - 10 Years
PNB 5.50% - 5.80% 180 Days - 10 Years
Allahabad Bank 3.95% - 5.25% 180 Days - 10 Years
Andhra Bank 5.50% - 5.80% 6 Months - 10 Years
Bank of India 6.25% - 6.70% 180 Days - 10 Years
Bank of Maharashtra 6.00% - 6.60% 6 Months - 10 Years
Canara Bank 6.20% - 7.00% 180 Days - 10 Years
Central Bank of India 6.20% - 7.00% 180 Days - 10 Years
Punjab and Sind Bank 6.25% - 7.00% 180 Days - 10 Years
UCO Bank 4.95% - 5.00% 1 Year - 10 Years
Union Bank of India 5.50% - 5.90% 180 Days - 10 Years
AU Small Finance Bank 5.75% - 7.53% 3 Months - 120 Months
India Post Office 5.80% - 5.80% 5 Years - 5 Years
Ujjivan Small Finance Bank 6.25% - 7.50% 6 Months - 120 Months
Equitas Small Finance Bank 7.00% - 8.00% 12 Months - 120 Months
IndusInd Bank 7.25% - 8.00% 12 Months - 10 Years
Fincare Small Finance Bank 6.50% - 9.00% 181 Days - 7 Years
Jana Small Finance Bank 6.75% - 8.50% 6 Months - 120 Months
ESAF Small Finance Bank 6.00% - 8.00% 181 Days - 3653 Days
Corporation Bank 6.50% - 6.80% 1 Year - 10 Years
Bandhan Bank 5.40% - 6.75% 6 Months - 10 Years
DBS Bank 5.75% - 7.50% 180 Days - 10 Years
Karur Vysya Bank 6.75% - 7.00% 180 Days - 10 Years
Lakshmi Vilas Bank 6.50% - 8.00% 180 Days - 10 Years
South Indian Bank 6.50% - 7.60% 1 Year - 10 Years
RBL Bank 7.15% - 8.05% 180 Days - 20 Years
Syndicate Bank 6.25% - 6.30% 13 Months - 10 Years
Yes Bank 7.00% - 7.25% 6 Months - 10 Years

RD Interest Rate Calculator

Income Tax on Recurring Deposit Interest

  • RD’s interest income is taxed at tax rate applicable to the deposit account holder. So, depending upon your tax bracket, out of the 10% that your bank pays on your deposit, you may have to pay up to 33.99% of that to the government for it to run the country. You can always contribute more to the native land by donating some more.
  • Interest on deposits is to be taxed on an accrual basis and not a receipt basis. Say, you make cumulative deposit for 5 years with a bank and hence will receive interest only at the end of five years. Still, you must pay tax on the accrued interest for each of the years in that year itself.

How is Interest on RD Calculated?

Most of the banks calculate compounded RD interest quarterly. To calculate compound interest on RD, you can use the formula as mentioned below:

M = P*(1+R/N)^Nt

Where

M = Maturity amount.

P = Principal amount of investment

R = Interest rate in decimal( You can convert RD interest rate into a decimal by dividing it by 100

T = Time duration( Months)

t = Time duration( Years)

N= compounding frequency (since it is quarterly, it will be 4)

If you want to save yourself from complex calculations, you can also use an online RD calculator provided on the page.

Tax Deduction (TDS) on RD Interest

  • Earlier no tax was deducted on recurring deposit. With effect to 1st June, 2015, recurring deposits are subject to TDS (tax deducted at source) as per the income tax laws. TDS on RD would be deducted at the rate of 10%. However, no TDS would be deducted if the interest income earned does not exceed ₹ 10,000 in a financial year.
  • Tax is to be paid as per applicable slabs at the time of filing income tax return. If you have submitted Form 15G (in case of normal citizens) and 15H (in case of senior citizen) in the bank, your TDS will not be deducted (in case your total taxable income doesn’t come under tax slab).

FAQs

What is the minimum amount that can be deposited into a RD account?

Minimum Deposit amount varies for every bank and it can be as low as ₹ 10.

Are there any extra benefits for senior citizens on Recurring deposit?

Yes, banks generally offers slightly higher rate of interests than the normal deposits. Usually, banks offer 0.25 percent to 0.75 percent more interest than normal RDs.

What is the minimum and maximum tenure for which I can open an account in RD?

The minimum period of deposit starts from 6 months and may extend to the maximum period of 10 years in most RD Accounts.

Is TDS applicable on interest earned on RD?

As per the Income Tax Law, TDS of 10% is applicable on the interest earned on Recurring Deposits. The TDS will be deducted if the interest earned on the Recurring Deposits is more than ₹ 10,000.


Our News - Sep 2020
  • 2020-08-21 : Indian Overseas Bank reported Rs. 120.69 crore net profit in Q1FY21
    Indian Overseas Bank reported a net profit of Rs.120.69 crores for the period ended June 30, 2020, as against a net profit of Rs.143.79 crores for the period ended March 31, 2020. In addition to this, the bank posted a total income of Rs.5233.63 crores backed by retail loans like home, personal, car, two-wheeler and gold loans along with business and mudra loans. Total deposits which include Fixed and recurring deposits increased to Rs 2.26 lakh crore as on June 30, 2020, as against Rs 2.21 lakh crore by June last year.
  • 2020-08-10 : Survey reveals Coronavirus changed Indian outlook to personal financial matters
    Scripbox Financial Freedom Survey 2020 was conducted to assess the personal financial outlook of Indians post-COVID 19. The survey revealed that 50% of respondents plan to remove discretionary spending and save more for an emergency. Further, the survey revealed that 28% will cut back on non-essentials, 22% will save to have a financial corpus to dip into during an emergency and 10% said that they will reduce their EMI burden.
  • 2020-08-06 : SBI reports Q1FY21 net profit of Rs. 4776.50 crore
    State Bank of India reported a net profit of Rs.4776.50 crores for the period ended June 30, 2020, as against a net profit of Rs.6909.95 crores for the period ended March 31, 2020. The Bank posted a total income of Rs.87984.33 crores backed by retail loans like home, personal, car, two-wheeler, and gold loan along with the business and mudra loans. Further, the bank total deposits which include FD, RD, current and savings account grew at 15.96 per cent YoY.
  • 2020-08-04 : UCO Bank reports Rs. 21.46 crore PAT in Q1
    UCO Bank posted a net profit of Rs.21.46 crores for the period ended June 30, 2020, as against a net profit of Rs.16.78 crores for the period ended March 31, 2020. The bank reported total income aided by retail loans like home, personal, car, two-wheeler and gold loans along with business and mudra loans of Rs.4436.57 crores during the period ended June 30, 2020. In addition to this, total deposits which include FD, RD, current and savings accounts increased by 1.4% to Rs 1,95,119.60 crore.
  • 2020-07-28 : Yes Bank reported a net profit of 45. 44 crore for June quarter
    YES Bank posted a 60.05% year-on-year fall in net profit at Rs 45.44 crore for the quarter ended June 30. The Bank had posted a net profit of Rs 113.76 crore in the corresponding quarter last year. Deposits at Rs 1,17,360 crore grew 11.4% QoQ aided by 26.4% QoQ growth in current account deposits and 12.6 per cent QoQ growth in term deposits which includes fixed and recurring deposits. CASA ratio stood at 25.8%. Further, Net interest income was at Rs 1,908 crore bolstered by home, personal, gold, car and two-wheeler loan along with business and mudra loans.
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