IDBI RD Calculator

The IDBI Recurring Deposit (RD) calculator enables you to calculate the amount that you would receive at the end by depositing an amount regularly. The calculator is easy to use and gives error-free results every time.

Recurring Deposits are an investment instrument offered by several financial institutions. With an RD, you can make regular payments and earn interest for the long term. It is like the flexible form of fixed deposit because in FD we have to invest in lumpsum. However, in an RD, you can save monthly.

How Does The IDBI RD Calculator Work?

The calculator uses the below formula:

Where,

M is the Maturity value of the RD
R is the monthly installment credited in the RD
n is the number of quarters in the total tenure
i is the rate of interest divided by 400

Example:

You are looking to deposit ₹4000 every month in an RD scheme. The duration of the scheme is 10 years and it is offering you an interest of 6.8% per annum. The maturity amount will be:

M =R[(1+i) n - 1]/1-(1+i) (-1/3)
M = 4000 x [(1 + 6.8/100) x 10 - 1] / 1 - (1 + 6.8/100) (-⅓)
M = ₹6,87,189

If you deposit ₹4,000 every month in an RD scheme, earning an interest rate of 6.8% per annum for 10 years, you will earn a maturity amount of ₹6,87,189.

How To Use The IDBI RD Calculator?

The calculator can help you know your maturity and interest amount without any formulas. All you need to enter are the below details:

• The amount deposited in the RD every month
• The interest rate which is offered by the financial institution
• The tenure of the RD

After providing these values, the RD calculator will show the amount you will get at maturity and the total interest which is earned on it.

Example:

Ms Shanthi is planning to deposit ₹17,500 every month in an RD scheme. The scheme is offering you an interest of 7.1% per annum. The duration of the scheme is 4 years. Here's how you can calculate her maturity amount.

M =R[(1+i) n - 1]/1-(1+i) (-1/3)
M = 17,500 x [(1 + 7.1/100) x 4 - 1] / 1 - (1 + 7.1/100) (-⅓)
M = ₹9,73,003

If Ms Shanthi deposits ₹17,500 every month in an RD scheme for 4 years and earns an interest rate of 7.1% per annum, she will earn a maturity amount of ₹9,73,003.

Benefits Of Using The IDBI RD Calculator

The key benefits of using our RD calculator include:

• The recurring deposit calculator saves time and effort by calculating your maturity value based on a few inputs.
• The calculator is easy to use and understand
• The calculator makes it easy for you to do your financial planning.