FD Calculator
Fixed deposit (FD) is an effective financial instrument to accumulate funds for your child’s education or building an emergency fund. However, only a few investors know how it works.
An FD calculator allows investors to get clarity on how much money they can make from an FD’s compounding effect. Since investors get interest rates at an average of 6% to 8%, knowing how an FD calculator works is crucial.
Let us understand how to calculate interest on fixed deposit calculator and exactly how it assists investors.
How Can PL Capital's Fixed Deposit Calculator Assist You?
The PL Capital Group – Prabhudas Lilladher’s online FD calculator help investors in numerous ways, which are explained below:
1. Comparision
PL’s FD calculator can be used to compare FD schemes offered by various banks. Based on your personal parameters, compare and evaluate the features like maturity period and interest rates of specific FD schemes and invest in one.
2. Accurate Predictions
By entering your desired investment amounts, FD rates, and tenure, you can get an accurate estimation of your maturity amount with an FD calculator.
3. Different Interest Payout Modes
An FD calculator also allows you to calculate FD returns by checking different modes of interest payouts. The FD interest payout can be cumulative, annually, half-yearly, quarterly, or monthly.
4. Free and Convenient
The PL Capital FD calculator is completely free to use and allows you to gather relevant information about your returns, without visiting your bank. You can also see the results easily on any of your devices.
Formula to Calculate FD Maturity Amount
An FD calculator calculates the FD maturity amount using the following formula:
M= P*(1+R/F^(N*12))
In this formula,
Let us understand the calculator of an FD maturity amount with an example. If you deposit INR 1 lakh for 10 years at 8% interest, your maturity amount at different frequencies will be:
| Compounding Frequency | Principal | Interest Rate | Returns for 10 years | Maturity Amount |
|---|---|---|---|---|
| Monthly | INR 1,00,000 | 8% | INR 1,21,964 | INR 2,21,964 |
| Quarterly | INR 1,00,000 | 8% | INR 1,20,804 | INR 2,20,804 |
| Half-Yearly | INR 1,00,000 | 8% | INR 1,19,112 | INR 2,19,112 |
| Yearly | INR 1,00,000 | 8% | INR 1,15,892 | INR 2,15,892 |
How to Use a Fixed Deposit Calculator?
Using PL Capital’s FD calculator, you can check the maturity amount of your FD returns. You need to enter some basic inputs, like the principal amount, rate of interest, compounding frequency, and tenure of investment.
You can select the compounding frequency, whether yearly, half-yearly, quarterly, or monthly, from the drop-down list. This feature allows you to compare your returns with various combinations.
After you enter all of this data, PL’s FD calculator online will generate your total maturity amount, with the investment amount and returns. However, you must note that the result of the FD calculator is indicative, and the maturity amount on the FD certificate will be the final amount.
Benefits of Using PL Capital's Fixed Deposit Calculator
The FD calculator of PL Capital helps you to know the total maturity amount from your FD investments. Here are the other advantages of this calculator:
1. Easy to Compare Schemes
This calculator assists investors in comparing the rates of interest of various schemes and investment tenures based on their cash flow requirements. You can choose payouts cumulative, monthly, quarterly, half-yearly, or annually at the end of the maturity tenure.
2. Accurate Results
PL’s FD calculator gives you a clear picture of how much your FD investment will grow in the near future at a particular rate of interest and time period.
3. User-Friendly and Free to Use
FD calculators are easy to use and are completely free. Using the PL Capital FD calculator, you can save time without any payments.
