Calculate Your Interest with the Bajaj Finance FD calculator

Different banks offer different interest rates on fixed deposits. Let us look at the key factors that affect the interest rate on FDs.

Factors affecting the fixed deposit interest rate

Age

The interest rate offered by banks ranges anywhere from 2.5% to 7.75%. Generally, senior citizens benefit from higher rates of interest.

Duration of the investment

Typically, most banks offer a higher interest rate if the duration of your fixed deposit investment is long. Moreover, due to the effects of compounding, you will earn a larger amount if you keep your funds invested for a longer duration. Thus the longer you invest, the more interest you can earn.

Your bank

Different banks offer different rates of interest. You can compare the offered rates and put your funds where you can maximise your returns.

Once you have the information regarding the rate of interest provided, you can calculate the amount that you are bound to earn on your investment. Let us see how that can be done.

How can you calculate fixed deposit interest?

Calculating returns on your fixed deposit scheme is very easy using factors such as the interest rate and the period of investment, along with the compounding frequency. This is done using a simple formula, which is:

A = P(1+r/n)^nt.

In the formula listed above,

• A is the final maturity amount.
• R is the rate of interest
• P is the invested amount in a specific fixed deposit
• T is the total duration of the fixed deposit scheme
• N is the number of times compounded interest is accrued

However, calculating fixed deposit returns can be quite a difficult task. It is a time-consuming method and the calculation keeps getting more complex with an increase in the number of years. However, with the aid of a fixed deposit calculator, you can easily figure out the amount of interest that will be generated and the expected matured payout amount that you will receive at the end of the term.

Let us understand how you can make your calculations easy with a fixed deposit interest calculator.

What is a fixed deposit calculator?

A fixed deposit interest calculator is an online tool that allows you to quickly calculate the interest you will earn. All you have to do is simply add your investment details as input and click the ‘calculate’ button!

The fixed deposit interest calculator also enables you to compare the difference between the interest offered by several plans. You can also use the same fixed deposit interest calculator to check all other details, including monthly interest and the investment total value after a specific period.

Now that we’ve covered the basic idea behind FD calculators, let’s take a look at how the Bajaj Finance FD calculator works.

How does the Bajaj Finance FD calculator operate?

Bajaj Finance FD calculator is a feature that can calculate the amount that you will receive at the time of maturity of the fixed deposit scheme. Using the Bajaj Finance FD calculator is pretty easy and straightforward. All you need to do is enter the fixed deposit investment amount, rate of interest, and the tenure of the fixed deposit scheme. The fixed deposit interest calculator will calculate the figures and give you quick and accurate results in seconds.

Here is how you can use the Bajaj Finance FD Calculator.

Steps to use the fixed deposit calculator

Let’s take a look at the steps that you can follow to calculate your FD interest rate using the Bajaj Finance FD calculator:

Step 1: Select the type of investment option that you want to opt for. (Offline investment and online investments)

Step 2:  Choose from the type of fixed deposit type that you’re interested in. (Non-cumulative FDs, Senior citizen FDs, corporate FDs, or cumulative FDs)

Step 3:  Enter the amount of your initial investment along with the interest rate offered.

Step 4: Choose the time period that you wish to invest for. 

Step 5: Click on calculate and you will receive all the necessary details regarding your investment value at maturity within seconds.

You will also get a detailed pie chart that will display the amount invested and the interest accrued in a specific time period. This graphical breakdown of your fixed deposit statistics provides a simple and streamlined way of viewing the status of your fixed deposit.

In conclusion

Calculating the interest that you can earn on your fixed deposit investment can be complex and time-consuming. With the help of a fixed deposit interest calculator, you can easily calculate all your investment details, such as the interest earned and the maturity amount, within seconds. You can use the Bajaj Finance FD calculator to get accurate results, along with a graphical display of the investment metrics, and make an informed decision while investing your funds in a fixed deposit.