Fixed Deposit.
Know your maturity & interest.

A fixed deposit (FD) is a lump‑sum investment where you lock money for a chosen tenure at a guaranteed interest rate. The bank pays interest compounded quarterly (usually). Your current FD of ₹1,00,000 at 7.0% for 5 yrs will mature at ₹1,40,255. Track your overall wealth in the Wealth Wallet.

Banks use the formula A = P × (1 + r/n)^(n×t), where P is principal, r is annual rate, n = 4 (quarterly compounding), t = years. For annual compounding (simpler calculator), A = P × (1 + r)^t. Your effective yield (CAGR) is 8.0%. Interest earned = ₹40,255. Compare with RD Calculator for monthly savings.

Currently 7.0% is competitive for major banks. Small finance banks and NBFCs often offer 0.5‑1.5% higher. Senior citizens get an additional 0.25‑0.5%. Use the Tax Regime Simulator to compare post‑tax returns.

Longer tenure dramatically increases compounding. Your 5‑year FD earns ₹40,255 in interest. Extending to 10 years more than doubles the interest earned. For goal‑based planning, use the Savings Sprint Simulator.

Yes, FD interest is fully taxable as per your income tax slab. TDS is deducted at 10% if annual interest across all deposits exceeds ₹40,000 (₹50,000 for senior citizens). Your interest of ₹40,255 over 5 years is taxable annually. Consider tax‑saving FDs (5‑year lock‑in) under Section 80C. Use the Tax Simulator to estimate liability.

Yes, but banks charge a premature withdrawal penalty, typically 0.5% to 1% reduction in the applicable interest rate. This can significantly reduce your effective yield. To avoid this, build an emergency fund first using the Emergency Fund Calculator.

FD is ideal for lump‑sum investments, while RD suits monthly savings. For goal‑based comparisons, use the RD Calculator alongside this FD Calculator. For long‑term wealth, also explore Investment Wallet for equity SIPs.

Debt mutual funds held for over 3 years get indexation benefit, reducing tax on gains. FDs are taxed annually at slab rate. If you’re in the 30% bracket, debt funds may be more tax‑efficient. Use the Tax Simulator to compare both scenarios.