Calculate your FD maturity value with quarterly compounding, the standard method used by Indian banks.
Fixed Deposits typically compound quarterly in India — meaning interest earned each quarter is added to the principal, and the next quarter's interest is calculated on this new, higher balance. This is why the FD maturity formula uses quarterly compounding by default, rather than simple annual interest.
FDs offer a fixed, predictable return unlike market-linked investments, making them useful for near-term goals or as a safe portion of your portfolio — though the trade-off is a lower long-term return compared to equity investments.
Yes — FD interest is added to your total income and taxed at your applicable income tax slab rate. Banks also deduct TDS if your annual interest from that bank crosses ₹40,000 (₹50,000 for senior citizens).
A cumulative FD reinvests the interest and pays out everything at maturity (what this calculator assumes). A non-cumulative FD pays out interest periodically (monthly/quarterly/annually) instead of compounding it.
Yes, but most banks charge a penalty (typically 0.5-1% reduction in the interest rate) for premature withdrawal.