Fixed Deposit (FD) Calculator
Calculate your maturity proceeds and total interest earned on Bank Fixed Deposits with standard quarterly compounding, senior citizen rate adjustments, and Section 194A tax rules.
Fixed Deposit Parameters
Calculate maturity yield with standard quarterly compounding used by Indian commercial banks.
TDS Rules on Fixed Deposit Interest
Under Section 194A of the Income Tax Act, TDS is deducted at 10% if total interest from all branches of a bank exceeds ₹40,000 per financial year (₹50,000 for senior citizens).
Submit Form 15G (or Form 15H for senior citizens) at your branch if your total taxable income is below the exemption limit to prevent TDS deduction.
Frequently Asked Questions on Bank Fixed Deposits
How do Indian banks compound interest on Fixed Deposits?
Most scheduled commercial banks in India (including SBI, HDFC, ICICI, and PNB) compound fixed deposit interest on a quarterly basis (every 3 months). This means your effective annual yield is slightly higher than the nominal stated interest rate.
How much extra interest do Senior Citizens receive on bank FDs?
Senior citizens (aged 60 and above) typically receive an additional 0.50% (50 basis points) interest on fixed deposits across all tenures. Super senior citizens (aged 80+) often receive up to 0.75% to 0.80% extra in selected banks.
What is the TDS threshold on Fixed Deposit interest?
Under Section 194A, Tax Deducted at Source (TDS) is charged at 10% if the total interest earned across all branches of a single bank exceeds ₹40,000 in a financial year for general citizens (₹50,000 for senior citizens). If PAN is not provided, TDS is deducted at 20%.
Are my fixed deposits safe if a bank fails?
Yes, deposits in all scheduled commercial and cooperative banks are insured by the Deposit Insurance and Credit Guarantee Corporation (DICGC), an RBI subsidiary, up to ₹5,00,000 per depositor per bank (covering both principal and interest).