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Recurring Deposit Calculator

Grow your investments, one-step at a time

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Allows you to save money on a regular basis

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Minimum deposits at better rate of returns

Flexible tenure for your investments

Use the RD calculator below to know about the compound interest earned on your principal investment for your desired tenure.

Recurring Deposit Calculator FAQs

1. What is a recurring deposit calculator?

A recurring deposit calculator is an online tool that you can use to plan your RD investments. In a recurring deposit, you invest a fixed sum each month, for a specified investment tenure. Over the course of the investment period, the amounts you deposit continue to earn interest at a predetermined fixed rate. At the end of the investment tenure, the maturity amount you receive includes the principal deposited periodically as well as the interest earned thereon.

An RD calculator shows you the profit you will earn on your recurring deposit, as well as the total amount you will receive at maturity. To get these details, all you need to do is enter the following parameters in the online tool-

•  Your monthly investment amount
•  The expected rate of return
•  The investment period

Once you enter the details listed above, the RD calculator will give you insights into how your investment will grow. These details will help you plan your RD in a more informed manner.

2. How can an RD calculator help you?

A recurring deposit, as the name indicates, is an investment you make repeatedly over a specified tenure. So, the returns on the amounts deposited accrue on a continuous basis. Calculating these returns manually can be challenging and prone to errors. Here’s where a recurring deposit calculator can help.

This nifty online tool takes into account different parameters like the amount of monthly investment you plan to make, the rate of interest thereon and the tenure of the RD. Using these details, the calculator gives you insights into the profit you will earn on your total investments and the total maturity value of your RD. This makes investment planning much easier.

An RD calculator can also help you in many other ways, some of which are listed below.

•  It gives you accurate results about the maturity amount of your recurring deposit.
•  It facilitates more informed financial planning for your future goals.
•  It allows you to compare recurring deposit facilities offered by different banks.

3. How do Lumpsum Calculators work?

Lumpsum calculators show you how your current investment will earn returns in the future and what these may be. Calculators work on the basis of estimated return rates (based on those of past rates of the same funds) to give you a gauge of your returns. Therefore, you have to enter certain fields into an online tool, and these entail your investment amount, your tenure, and your predicted return rate. The digital online tool gives you your returns at maturity.

4. What are the benefits of using a Lumpsum Calculator?

These are the benefits of use of a lumpsum calculator:

      1. You can find out returns on your investment in a few seconds.
      2. Calculators are easily accessible online and user-friendly.
      3. Lumpsum calculators help you to understand how much to invest to gain expected returns.
      4. You can plan your investments to meet certain future financial objectives.
      5. You can compare and choose mutual funds according to the returns you wish to gain and your investment amount

5. How can a Lumpsum Calculator Help You?

A lumpsum calculator helps you in key ways. It is easy to use, helps you plan your financial future, and indirectly makes sure you can earn to meet your long-term expense needs. The calculator can be a good indicator of your choice of funds, after you discover the returns particular funds may yield. Your financial milestones become easy to achieve as you go through your life, armed with a lumpsum investment in mutual funds.

6. What is the difference between a Lumpsum and a SIP investment?

A lumpsum investment is an investment (in mutual funds) made at a single time with a bulk of capital. In contrast, a systematic investment plan, or a SIP, is an avenue for investment (usually in mutual funds) through staggered and regular instalments of capital. A lumpsum investment is good for investors with long-term goals, and a SIP suffices for those with little capital to spare in bulk

7. Which is more advantageous- a lumpsum or SIP investment?

There are many advantages to investing in different ways based on what investors are looking for with their investments. Investments with lumpsums are advantageous for those who invest during market lows. With SIPs, you can invest during various cycles of the markets. Lumpsum investments suit long-term investors, and they have to be monitored. SIPs are smaller investments and they do not have to be tracked as vigilantly. SIPs can be a hedge against market volatility, and long-term lumpsum investments can earn more returns with the power of compounding. Based on your requirements, you may have smaller amounts to spare at intervals in a SIP, or a bulk to allocate with a lumpsum.

8. Are lumpsum calculators accurate?

Lumpsum calculators are near-accurate at best, and this is because lumpsums are invested in mutual funds (related to market conditions). At best, these calculators give you estimates of returns, but you get a pretty good idea about financial planning through them.

9. Where can I make lumpsum investments?

Lumpsum investments in mutual funds can completely be undertaken online nowadays. Several popular and reputable brokerages and AMCs exist where you can find lumpsum investment opportunities to suit your needs.

10. Can I convert a lumpsum to a SIP?

In a flexible investment world, it's not hard to alter a lumpsum investment to a SIP. This can conveniently be done via your AMC’s investment platform.

11. What is the minimum amount needed for a lumpsum investment?

Lumpsum investments in mutual funds begin as low as Rs. 5,000. Nonetheless, you may find a few funds that accept Rs. 1,000 as an initial investment..

12. Can I make a lumpsum investment every month?

A lumpsum investment, as its name suggests, is a bulk investment made at a single time. With such an investment, the investor buys mutual fund units at a fixed price at a single time. You cannot make a lumpsum investment every month, but if you wish to make monthly investments in mutual funds, then SIPs are better suited to your requirements.

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