Interest Rate
7.0% p.a.
Tenure
6m – 10y
Min / Month
₹100
Compounding
Quarterly
Tax
Taxable
Offered By
Banks / PO
RD Calculator
Four calculators in one — Standard, Step‑up, Goal and Compare. The interest rate is auto‑detected from today's financial year and can be overridden. Charts and reports download in ASLI FORM branding.
Auto rate
% p.a.
Auto-filled from FY. Editable.
Yr
RD: 6 months to 10 years.
Mo
Added to the years above.
Bank RDs compound quarterly.
Used to compute maturity date.
RD interest is taxable.
%
Health & education cess.
Seniors often get +0.5% & higher TDS limit.
₹
Fixed amount deposited every month.
₹
%/yr
Installment rises by this % each year.
₹
The corpus you want at maturity.
₹
%
Market-linked, indicative.
%
FD on the same total, quarterly comp.
RD Maturity (Quarterly Compounding)
Year-by-Year Breakdown
| Year | Deposited | Interest | Closing Balance |
|---|
RD Terms & Conditions
- Tenure typically 6 months to 10 years, in multiples of 3 months; minimum monthly deposit usually ₹100.
- Interest is compounded quarterly at rate/4; credited at the end of each quarter.
- Interest rate is revised by banks periodically; this tool auto-detects a representative rate for the active financial year and forward-fills future years (marked latest-known).
- RD interest is fully taxable as per your slab; TDS u/s 194A applies if annual interest exceeds ₹40,000 (₹50,000 for seniors).
- Premature withdrawal is usually allowed with a 1–2% interest-rate penalty for the period the deposit ran.
- Loan/overdraft against RD is commonly available up to ~90–95% of the balance.
- Senior citizens often receive an additional 0.5% interest; nomination and auto-renewal facilities are available.
- Results are estimates; actual maturity may vary slightly by bank method, rounding and rate changes.
RD Features & Benefits
A Recurring Deposit helps you build a corpus by investing a fixed amount every month, with assured returns and quarterly compounding.
- Disciplined Monthly SavingA fixed auto-debit instils regular savings habit.
- Assured ReturnsFixed interest rate, unaffected by market volatility.
- Quarterly CompoundingInterest earns interest every quarter, boosting yields.
- Low EntryStart with as little as ₹100 per month.
- Flexible Tenure6 months to 10 years, in 3-month multiples.
- Loan Against RDBorrow up to ~90–95% of the balance in emergencies.
- Senior Citizen BonusTypically +0.5% extra interest for seniors.
- Safe & InsuredBank deposits insured by DICGC up to ₹5 lakh per bank.
RD Taxation & TDS
Unlike PPF, RD interest is taxable. Here is how it works.
- Interest is TaxableAdded to your income and taxed at your slab rate (Old or New regime).
- TDS u/s 194ABanks deduct TDS if annual RD interest > ₹40,000 (₹50,000 for seniors).
- Form 15G / 15HSubmit to avoid TDS if your total income is below the taxable limit.
- No 80C BenefitRD investment does not qualify for Section 80C deduction (unlike PPF/EPF/Sukanya).
RD vs FD vs SIP vs PPF
| Feature | RD | FD | SIP (MF) | PPF |
|---|---|---|---|---|
| Investment | Monthly | Lump sum | Monthly | Yearly / monthly |
| Return | ~7% | ~6.5–7.5% | ~12% (market) | ~7.1% |
| Tax | Taxable | Taxable | LTCG 12.5% >₹1.25L | EEE (tax-free) |
| Risk | Very low | Very low | High (equity) | Zero (sovereign) |
| Liquidity | Moderate | Moderate | High (after lock-in) | Low (15 yr) |
| Best For | Disciplined monthly saving | One-time surplus | Long-term wealth | Tax-free long-term |
Representative RD Rate History
Representative typical large-bank RD rates (1–5 year band). Actual rates vary by bank and tenure; the active financial year (auto-detected) is highlighted.
| Financial Year | Representative Rate (p.a.) |
|---|
RD Rules, Withdrawal, Loan & Eligibility
- EligibilityResident individuals (incl. minors via guardian), HUFs, trusts, societies. NRIs can open NRO RDs.
- Premature WithdrawalAllowed, usually with a 1–2% rate cut for the period actually run.
- Loan / OverdraftUp to ~90–95% of balance at ~1–2% above the RD rate.
- Auto-Renewal & NominationBoth facilities are available; set nomination at opening.
- Missed InstallmentBanks may levy a small penalty for irregular deposits; repeated defaults can close the account.
- How to OpenOpen via net-banking / mobile-banking or at a bank branch with KYC; set a monthly auto-debit.
Frequently Asked Questions
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