Fixed deposit (FD) is the most favorite money savings instrument in India and world over. Fixed Deposit gives you the certainty of income monthly, quarterly, annually or for longer periods as per your requirement. Fixed Deposit is considered safe and sound unlike other money instruments, be it equity. commodity etc.
So, whenever you want to deposit money be it small or large, first thing comes to our mind the the rate of interest on Fixed Deposit. Usually, interest rate on Fixed Deposit is compound interest, which makes your money multi-fold. Interest rate on Fixed Deposit is lesser for small period like less than a year and interest rate on Fixed Deposit is higher for longer period from 1 year to 10 years.
Fixed deposit is done by working employees, in the name of children, spouse and parents. But, mostly senior citizens use it for pension and after retirement. As the profile of senior citizen does not suit the equity and commodity, so senior citizens prefer Fixed deposit, as it gives them the peace of mind.
Now, where to invest, how much to invest and for how long to invest in Fixed deposit?
Fixed deposit is offered by financial institutions like Govt. banks, Private banks, post offices and NBFCs (Non-banking Financial corporations). The banks and others have set a limit on the maximum amount, which you want to invest and there are many periods from 7 days to 10 years to select the period of investment.
There are many financial institutions which offer monthly, quarterly, annually interest rate of fixed deposit in your account depending on your need. Many customers prefer monthly or quarterly interest rate on fixed deposit to earn like regular income and cover regular expenses.
The following financial institutions offer FDs for different periods having different rates of interest:
1. Govt. banks fixed deposit interest rates’ comparison – Click here
2. Private banks like ICICI, Axis and HDFC fixed deposit interest rates’ comparison – Click here
3. Fixed deposit in Post office and small savings schemes Interest rates – Click here
Excel Calculator to calculate Interest Rate on Fixed Deposit:
So, the banks and post office offer several options like different period and interest rate, which gets confusing. So, how to calculate exact return amount on the investment? For this, just download this excel calculator of fixed deposit, which instantly shows the compound interest amount and total maturity amount.
This Excel Calculator to calculate Compound Interest Rate on Fixed Deposit compares 5 investment options. If the banks are offering simple interest or Compound Interest rate with different options like yearly compounding of interest rate, half-yearly compounding of interest rate, quarterly compounding of interest rate and monthly compounding of interest rate, it shows all 5 options in flash.
Due to knowing all the options shown by Excel Calculator to calculate Compound Interest Rate on Fixed Deposit, you can take wise decisions as per your requirement.
Also Read : Excel Income tax calculator for FY 24-25, FY 23-24 with 3 case studies
Disclaimer: Kindly refer official website before investing, for updates and clarification.