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# FD Calculator – Calculate Fixed Deposit Amount Using FD Interest Rates

The calculator is made keeping in mind the investment of a small term, which usually ranges from 6 months to 5 years. The calculator helps the investors to know the interest rates, after how much time the investment will mature and how much profit they are going to earn from the maturity. All these values are given as per convenience, in a very simple and easy to understand way.

## Online Fixed Deposit Calculator (FD Calculator)

An online calculator for fixed deposit that works is one of the most commonly needed financial planning tools, used by people across all age groups. This calculator provided with the help of our customer support specialist helps you calculate and estimate your short term financial goals.

## Fixed Deposit or FD Calculator Formula

A fixed deposit calculator is a very useful financial tool for Indians, which effectively determines the compounded annual interest of an FD using simple mathematical formulas.

A=P(1+R/N)^N*T

• A is final amount or the maturity amount
• P is the amount you deposit or the principal amount
• R is rate of interest you have been promised the financial institution
• T number of years for which you make the FD
• N is compounded interest frequency

### What is Fixed Deposit (FD)?

Fixed Deposit is nothing but a deposit in the bank account which remains untouched for a specified time period chosen by the customers. It is a secure investment like no other, as you cannot make any withdrawals on this investment during the validity period, and hence, it is fixed. Customers are required to deposit money in the bank for a specified period of time and the bank agrees to return an interest rate that is fixed prior making an investment, which depends upon the amount deposited and upon the interest rate set by Reserve Bank of India. The rate of interest varies from bank to bank and even from city to city. There are two major types of Fixed Deposits in India – Recurring deposit (RD) and Regular Deposit (RD).

### Features of Fixed Deposit (FD)

This fixed deposit is very useful to people having less time and do not want to keep money in bank account. This type of FD is useful to get good profit with reasonable interest rate. Fixed Deposit is the best and safest way of saving money. Therefore you should definitely apply for it.

### Benefits of Fixed Deposit (FD)

The market of investment is getting difficult with the growing access of investment opportunities to layman investors. It becomes a headache for any individual to decipher between them available options in the open market. At that point, it is sensible to settle on what one needs and doesn’t require a further search. Certainly, there are some benefits associated with the Fixed Deposit that make it a lucrative option as an investment avenue compared to other schemes available. The risks associated with FD are considerably low as FDs give higher interest rates than other investment options.

### What are the Types of Fixed Deposit?

There are various types of fixed deposit for your investment. But before making a decision about which one to invest in, you should learn about the types of fixed deposit.

A Fixed Deposit is a great way of saving money – the best part being that the depositor doesn’t have to do anything. It works much like the popular savings account, yet offer better returns and leaves you with minimal work. There are 4 types of FDs which we’ll discuss here and they’re all tax-free at the time of maturity. >>>Read More<<<

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