Calculate FD maturity amount, interest earned, and effective yield for any compounding frequency
Maturity Amount
₹1,07,186
Interest Earned
₹7,186
Effective Yield
7.19%
No TDS (interest ≤ ₹40,000)
| Bank | 1 Year | 3 Years | 5 Years |
|---|---|---|---|
| SBI | 6.80% | 6.75% | 6.50% |
| HDFC Bank | 6.60% | 7.00% | 7.00% |
| ICICI Bank | 6.70% | 7.00% | 7.00% |
| Axis Bank | 6.70% | 7.10% | 7.00% |
| Bank of Baroda | 6.85% | 6.80% | 6.50% |
| Unity Small Finance | 8.00% | 8.50% | 8.65% |
* Rates are approximate and subject to change. Senior citizens typically get 0.25–0.50% extra. Verify on bank website before investing.
Fixed deposits are the most popular savings instrument in India, but they aren't always the best choice. Here's how FDs compare to other options: PPF offers 7.1% tax-free returns with Section 80C benefit, making it better than FD for those in the 20–30% tax bracket. Debt mutual funds (specifically long-duration or gilt funds) can offer higher pre-tax returns but come with interest rate risk. For short tenures (3–12 months), liquid mutual funds often beat FD returns post-tax.
FDs shine in simplicity, capital protection, and DICGC insurance up to ₹5 lakh. They are ideal for emergency funds, goal-based saving with a fixed timeline, and senior citizens who prefer predictable income.
Small finance banks like Unity Bank, Suryoday, Jana, and ESAF typically offer the highest FD rates (8–9%), followed by private banks (7–8%) and public sector banks (6.5–7.5%). Always verify current rates on the bank website before investing.
Yes, FD interest is fully taxable as per your income tax slab (old or new regime). Banks deduct TDS at 10% if total interest exceeds ₹40,000 in a financial year (₹50,000 for senior citizens). You can submit Form 15G/15H to avoid TDS if your total income is below the basic exemption limit.
Cumulative FD reinvests the interest and pays everything at maturity (higher returns due to compounding). Non-cumulative FD pays interest periodically (monthly/quarterly/annually) and is suitable for those needing regular income. Our calculator shows cumulative FD returns.
Under the DICGC insurance scheme, deposits up to ₹5 lakh (principal + interest combined) per depositor per bank are insured. It is advisable to spread deposits across banks or stick to large public sector banks for higher amounts.