Financial Deposit is an instrument by which banks usually gather their running cost, while the investor also gets to earn a higher interest than usual after a certain period of time. To fully get the benefits of fixed deposits/term deposits, investor can’t withdraw money from this account before the deposit matures at a certain age.
The usual period of such deposits usually vary between 7 days to 15 years. Different banks have different interest for different period. To calculate a fixed deposit’s maturity value, an investor needs to know the principal amount, rate of interest on the fixed deposit and for how long the deposit is going to stay.
Also, the interest frequency as in weekly, monthly or annually might be a necessary piece of information in this calculation. You have to face some % penalty if you withdraw money before maturity time.
Steps to Calculate Fixed Deposit Interest Rate:
- First visit Fixed deposit page and click the desire bank name to know current FD interest rates.
- In below FD Calculator, enter Deposit amount, rate of interest for related bank, Time period and frequency.
- Finally, click “calculate” button. Our Fixed Deposit calculator will display maturity amount and interest amount that you earned.