IDFC First Bank RD Calculator

IDFC FIRST Bank RD Calculator

The IDFC FIRST Bank Recurring Deposit (RD) Calculator is a simple and efficient tool that helps you estimate the maturity value of your RD investment. By entering key details such as the monthly deposit amount, interest rate, and Tenure, you can get an accurate projection of your returns at the end of the deposit term.

How the IDFC FIRST Bank RD Calculator Works

The RD calculator uses the compound interest formula to compute the maturity amount. It assumes that deposits are made at the end of each month and interest is compounded quarterly, which is standard for recurring deposits in India.

Key Inputs

• Monthly Deposit Amount: The fixed amount you plan to deposit each month.
• Interest Rate: The applicable RD interest rate offered by IDFC FIRST Bank (as of Q1 FY 2024–25, ranges from 4.00% to 7.50% p.a., depending on Tenure and customer type).
• Tenure: The duration of the RD is from 6 months to 10 years.
• Start Date (Optional): Helps calculate the exact maturity date.

Formula Used

M = P × [(1 + r/n)^nt – 1] / [1 – (1 + r/n)^–1/n]

• M: Maturity amount
• P: Monthly deposit
• r: Annual interest rate (in decimal)
• n: Number of compounding periods per year (typically 4 for quarterly compounding)
• t: Tenure in years

This formula accounts for each monthly installment earning interest for a different period.

Benefits of Using the RD Calculator

• Accurate Forecast: This helps you plan your savings goal effectively.
• Time-Saving: No manual calculations are needed.
• User-Friendly: Quick inputs and instant results.
• Flexible Planning: Try different combinations to compare returns.

Example

If you invest ₹5,000 per month in an RD for 3 years at an annual interest rate of 7.25%, the calculator will estimate the total maturity amount and the interest earned.

Disclaimer : The results given by the above calculator are for illustration purpose only. They are often based on a number of assumptions. The results given are in no way any guarantee of the returns that will be given. Investments in stock markets and securities markets are subject to market risks and other risks. There is no guarantee of the return that will be actually given. Investment in other financial products may also be subject to market risks and other risks. There is no guarantee of the returns that will be given by them. The calculator also does not make any recommendation directly or indirectly. Please consult a registered Financial Advisor before taking any investment decision.