Fixed Deposits
How FD interest is calculated
For a cumulative FD, maturity is commonly estimated with compound interest using the deposit, annual rate, tenure and compounding frequency.
Compound interest formula
A = P × (1 + r/n)^(n × t). P is the deposit, r is annual rate as a decimal, n is periods per year and t is years.
Worked example
₹5,00,000 at 7.25% for five years, compounded quarterly, gives an estimated maturity of about ₹7,16,130. Estimated interest is about ₹2,16,130.
Product terms still matter
Banks may use specific day-count conventions, payout options, renewal rules and premature-withdrawal terms. This is not a bank quote.
This guide is for general education. Rules, lender terms, bank terms and individual circumstances can change the result.
Use the relevant calculator