Recurring Deposit Calculator
Updated 20 August 2026
Estimate the maturity value of a Recurring Deposit — a fixed sum deposited every month — using the standard bank formula with quarterly compounding.
Open the Live Recurring Deposit Calculator →Frequently asked questions
What is a Recurring Deposit (RD)?
An RD is a bank or post office savings instrument where you deposit a fixed amount every month for a chosen tenure, earning compound interest, and receive the accumulated principal plus interest as a lumpsum at maturity.
How is RD interest calculated?
Bank RDs typically compound interest quarterly using the formula M = P × [(1+i)ⁿ − 1] / [1 − (1+i)^(−1/3)], where P is the monthly deposit, i is the quarterly interest rate, and n is the number of quarters in the tenure.
What is the difference between RD and SIP?
An RD is a bank deposit with a fixed, guaranteed interest rate and no market risk, while a SIP invests in mutual funds with market-linked, variable returns that carry investment risk but have historically offered higher long-term growth potential.
What is the difference between RD and FD?
An RD requires monthly instalments building up over time, suiting those without a lumpsum upfront, while an FD requires the entire amount to be deposited at once, and both typically offer similar interest rates for comparable tenures.