Recurring Deposit Calculator
Calculate your maturity amount with SBI’s RD interest rates
RD Calculation Results
Key Information
Your RD will mature on: DD/MM/YYYY
Effective Annualized Yield: X.XX%
| Month | Deposit | Interest | Balance | Date |
|---|
Current SBI RD Interest Rates
Below are the latest interest rates for regular customers and senior citizens:
| Tenure | General Public | Senior Citizens |
|---|---|---|
| 6 months | 5.50% | 6.00% |
| 9 months | 5.75% | 6.25% |
| 12 months | 6.00% | 6.50% |
| 15 months | 6.25% | 6.75% |
| 18 months | 6.50% | 7.00% |
| 21 months | 6.50% | 7.00% |
| 24 months | 6.50% | 7.00% |
| 30 months to 10 years | 6.50% | 7.00% |
* Rates are subject to change. Please check with SBI for the latest rates.
Frequently Asked Questions
1. What is a Recurring Deposit (RD)?
A Recurring Deposit is a special term deposit offered by banks where you can deposit a fixed amount every month for a predetermined tenure. The deposit earns interest at a fixed rate.
2. What is the minimum and maximum tenure for SBI RD?
The minimum tenure is 6 months and the maximum is 120 months (10 years).
3. What is the minimum deposit amount for SBI RD?
The minimum monthly deposit is ₹100 with no upper limit. Deposits should be in multiples of ₹10.
4. How is RD interest calculated?
RD interest is compounded quarterly. The formula used is: M = R[(1+i)^n-1]/(1-(1+i)^(-1/3)) where M is maturity value, R is monthly installment, n is number of quarters, and i is rate of interest/400.
5. Can I withdraw my RD before maturity?
Yes, but premature withdrawal may attract a penalty (usually 1% on the interest rate). The minimum lock-in period is 3 months.
6. Are there tax benefits on RD?
No, RDs don’t offer tax benefits. The interest earned is taxable as per your income tax slab.
7. Can I take a loan against my RD?
Yes, SBI offers loans up to 90% of the deposit amount plus accrued interest.
Recurring Deposits (RDs) remain one of India’s most disciplined savings instruments, offering guaranteed returns with flexible investment amounts. Our Recurring Deposit Calculator helps you project your savings growth while explaining how to optimize your RD strategy across different banks.
Why Choose a Recurring Deposit?
🔹 Forced Savings Habit – Automates monthly savings
🔹 Better Returns Than Savings – 6-7.5% interest vs 3-4% in savings accounts
🔹 Flexible Tenures – 6 months to 10 years options
🔹 Loan Facility – Borrow up to 90% of deposit value
Current RD Rates (2024)
| Bank | General Public | Senior Citizen |
|---|---|---|
| SBI | 6.50% | 7.00% |
| HDFC | 6.75% | 7.25% |
| ICICI | 6.70% | 7.20% |
| Post Office | 6.20% | 6.70% |
How the Recurring Deposit Calculator Works
Key Inputs That Shape Your Returns:
- Monthly Deposit (₹100 minimum, no upper limit)
- Tenure (6 months to 10 years)
- Interest Rate (Varies by bank and tenure)
- Senior Citizen Status (+0.5% extra interest)
Example Scenario:
- ₹10,000/month for 5 years @6.5%
- Total Investment: ₹6 lakh
- Maturity Value: ₹7.13 lakh
- Effective Yield: 6.82% annually
The Math Behind RD Interest Calculation
RDs use quarterly compounding:
M = R × [(1 + i)^n – 1] / (1 – (1 + i)^(-1/3))
Where:
- M = Maturity amount
- R = Monthly installment
- i = Quarterly interest rate (annual rate ÷ 4)
- n = Number of quarters
Pro Tip: Align RD dates with salary credit for automatic transfers
Advanced RD Strategies
1. The Ladder Approach
Open multiple RDs with staggered maturities:
- RD 1: ₹5k/month for 1 year
- RD 2: ₹5k/month for 2 years
- RD 3: ₹5k/month for 3 years
Benefits: Creates liquidity windows while earning higher long-term rates
2. Senior Citizen Boost
Those above 60 get 0.5% extra interest:
- ₹10k/month for 3 years:
- Regular: ₹3.8 lakh maturity
- Senior: ₹3.85 lakh (+₹5,000 extra)
3. Auto-Renewal Setup
Convert maturity amount into:
- New RD at current rates
- FD for higher interest
- Debt funds for better liquidity
RD vs Alternative Instruments
| Instrument | Return | Lock-in | Tax | Best For |
|---|---|---|---|---|
| RD | 6-7.5% | 6M-10Y | Taxed | Short-term goals |
| FD | 6-8% | 7D-10Y | Taxed | Lump-sum savings |
| SIP | 10-15% | None | Taxed | Long-term wealth |
| PPF | 7.1% | 15Y | Free | Retirement |
RD Wins For: Salaried individuals building emergency funds or saving for vacations/weddings
Common RD Mistakes to Avoid
❌ Missing Payments – Multiple defaults may close your account
❌ Ignoring Premature Withdrawal – 1% penalty on interest earned
❌ Overlooking TDS – Banks deduct 10% TDS if interest exceeds ₹40k/year
❌ Not Comparing Banks – Rates vary up to 1% between institutions
Try the Interactive RD Calculator
- Adjust monthly deposit slider
- Compare 1-year vs 5-year returns
- View quarterly interest credits
- Print your payment schedule
Sample Projection:
- ₹15,000/month for 3 years
- Total Investment: ₹5.4 lakh
- Maturity Value: ₹6.02 lakh
- Effective Annual Return: 6.78%
Have RD Investment Questions?
Ask below! For large investments, consult a financial planner about tax-efficient alternatives.
Disclaimer: Calculator projections assume constant interest rates. Actual returns may vary with rate changes.
Also Check More Banking Calculators