What is a Recurring Deposit (RD)?

A Recurring Deposit is a special type of term deposit which allows people to make regular monthly investments and earn interest rates comparable to Fixed Deposits.

How is RD interest calculated in India?

RD interest is compounded quarterly. Since deposits are made monthly, the formula sums up compound interest for each installment individually based on the number of months it remains with the bank.

Can I withdraw my RD before the tenure ends?

Yes, premature withdrawal of RD is allowed, but banks usually charge a penalty (typically 0.5% to 1% lower than the applicable rate for the period the deposit remained with the bank).

Recurring Deposit (RD) Calculator

Calculate Recurring Deposit (RD) maturity value and interest. Compute monthly savings accumulation with quarterly compounding to match Indian bank passbooks.

Loading interactive calculator...

Please enable JavaScript if it is disabled in your browser.