🏦 RD Calculator
Enter your monthly deposit amount, interest rate, and tenure to instantly see your RD maturity amount, total interest earned, and TDS deduction. View a month-by-month growth table, compare RD against FD and SIP returns, and look up current RD rates for 20+ Indian banks including SBI, HDFC, ICICI, and Post Office.
🏦 RD Calculator
⚠️ TDS at 10% if annual interest from all RDs in a bank exceeds ₹40,000 (₹50,000 for senior citizens). Submit Form 15G/15H if income is below taxable limit.
📋 Month-wise RD Statement
Run the calculator first to see the month-by-month breakdown.
| Month | Deposit | Interest This Month | Cumul. Deposited | Balance |
|---|---|---|---|---|
| Run the calculator first. | ||||
⚖️ RD vs FD vs SIP Comparison
Compare same amount invested via RD, lump-sum FD, and monthly SIP over same tenure.
🏦 RD Rates - Major Banks (2025)
Indicative RD rates. Senior citizens get +0.25–0.75% extra. Click any row to use in calculator.
| Bank | 6 Mo | 1 Yr | 2 Yrs | 3 Yrs | 5 Yrs | Senior + |
|---|
Rates as of 2025. Verify with bank before investing. RD rates are typically same as FD rates for same tenure.
📐 How RD Interest Is Calculated
RD Maturity Formula
RD Interest - Month by Month
RD vs FD vs SIP - Key Differences
❓ Frequently Asked Questions
RD Calculator - How Recurring Deposits Work and What Affects Your Returns
A Recurring Deposit (RD) is the most practical savings instrument for salaried individuals who want to build a corpus from monthly income rather than a lump sum. It combines the discipline of forced monthly saving with the safety of a bank guarantee and a fixed, predictable return. Understanding exactly how interest is calculated - and why RD returns differ from FD returns at the same rate - helps you plan more accurately.
How RD Interest Is Calculated - The Month-by-Month Method
Each monthly instalment in an RD earns interest for a different number of months. The first instalment earns for the full tenure; the last earns for only one month. Most Indian banks compound interest quarterly:
- Instalment 1 (deposited in Month 1): compounds for all n months
- Instalment 2 (Month 2): compounds for n−1 months
- Instalment n (last month): compounds for 1 month
- Maturity = Sum of each instalment × (1 + r/4)^(remaining quarters)
This is why RD calculations are mathematically more complex than FD - and why the month-by-month table in this calculator is so useful for seeing exactly how your money grows at each stage.
RD vs FD vs SIP - Which Is Right for You?
RD and FD - Fixed Income
- RD: Monthly deposits, guaranteed returns, flexible tenure (6 months–10 years). Best for: regular savings from income. No market risk.
- FD: Lump sum deposit, same or slightly higher rate. Best for: deploying existing savings. Earns more than RD at same rate because full amount compounds from day 1.
- Both: DICGC insured up to ₹5L. Interest taxable at slab rate. TDS at 10% when interest exceeds threshold.
SIP - Market-Linked
- Monthly investment in mutual funds. Returns vary - historically 10–14% CAGR for diversified equity funds over 5+ years.
- Higher long-term return potential than RD - but with market risk (value can fall in the short term).
- Equity SIP gains taxed at 10% LTCG above ₹1.25L. RD interest taxed at full slab rate.
- Best for: long-term goals (5+ years). RD for goals under 3 years.
Small Finance Banks - Higher RD Rates with DICGC Protection
While SBI, HDFC, and ICICI offer RD rates of 6.5–7.5%, several small finance banks offer significantly higher rates - 8–9%+ in many cases. These banks are regulated by RBI and covered by DICGC deposit insurance up to ₹5 lakh per depositor per bank.
Notable small finance banks with competitive RD rates (check current rates on their websites): Ujjivan SFB, Jana SFB, Equitas SFB, AU SFB, ESAF SFB, Suryoday SFB. Senior citizens receive an additional 0.25–0.75% over standard rates at most banks.
If you hold multiple RDs across different banks, each bank's deposits are insured separately up to ₹5L. Spreading deposits across 2–3 banks allows coverage of up to ₹10–15L total.