HDFC FD Calculator

What is a HDFC FD Calculator?

An HDFC FD calculator is a tool that helps you to calculate the maturity amount you'll receive from an HDFC Recurring Deposit (FD) account.

HDFC FD

Different types of Fixed Deposit under FD:-

• Regular FD
• Earn compound interest on your savings
• Get overdraft facility to over cash flow issues
• HDFC Bank HealthCover FD
• An FD with HealthCover
• Minimum FD amount- 5 lacs & Max FD amount- 1.99 cr
• Flexi Tenure- Minimum tenure of year and Maximum tenure of 10 years
• Interest rates offered are the same as Regular Fixed Deposit
• Five-Year Tax Saving FD
• Get a combination of two benefits – saving tax while earning interest
• Save tax under section 80c of the Income Tax Act
• Invest a minimum of ₹ 100 up to ₹ 1.5 lakhs in a financial year
• Enjoy quarterly or monthly interest payouts
• FCNR Deposits FD
• Earn Indian interest rates on foreign currency
• Hold your deposit in as many as six global currencies
• Repatriate principal and interest amount fully
• Enjoy tax exemption on the entire deposit
• Overdraft Against FD
• Avail up to 90% of overdraft on your fixed deposit instantly
• Link your current or savings account to a Fixed Deposit
• Get overdraft facility to over cash flow issues
• Pay interest only on the overdrawn amount for the period it is used
• Non-withdrawable FD
• No Premature or Partial withdrawal is allowed
• Enjoy quarterly or monthly interest payouts only

Interest Rate chart of HDFC FD

Eligible Criteria for opening an FD in HDFC Bank

• Resident individuals
• Hindu Undivided Families
• Private and Public Limited Companies
• Trust and Societies

How does the HDFC FD calculator work?

The HDFC FD calculator helps to calculate the maturity amount, interest amount and how much you have invested in FD

How the HDFC FD calculator works-

Input Values- You have to provide the following details:

• Principal Amount (₹)- The total contribution you want to make for your HDFC FD account.
• Tenure (Years)- The total period for which you plan to invest HDFC FD
• Annual Interest Rate (%)- The current FD interest rate offered by HDFC bank (refer to the table provided above)
• Compounding Frequency- The interest rate is compounded Quarterly

Output: The calculator provides the following calculations :

• Principal Amount- This shows the total amount you will have invested by the end of the scheme.
• Interest Earned- This shows the total interest Amount you will have earned over the investment period. ( this is calculated quarterly)
• Maturity Amount- This shows the total Amount you will receive at the end of the investment.

Formula to Calculate HDFC FD

The formula to calculate HDFC FD:-

A = P * (1 + r/n) ^ (n*t)

Where:

• A = Maturity amount (final amount)
• P = Principal amount (initial deposit)
• r = Annual interest rate (in decimal form)
• n = Number of compounding periods per year (in this case, n = 4 for quarterly compounding)
• t = Investment period in years

Formula Use Example

Let's say you want to invest Rs 1,00,000 in your HDFC FD account too for one year, and the interest rate is 6.50%

You can calculate the maturity amount using the formula above:-

A = 1,00,000 * (1 +0.065/4) ^ (4*1)

Output:-

Principal Amount Amount- ₹1,00,000

Interest Earned- ₹6,660

Maturity Amount- ₹1,06,660

Advantages of Using an HDFC FD Calculator

• The HDFC FD calculator offers several advantages for potential investors, making it a valuable tool for investment planning.
• It helps estimate potential returns. By knowing the maturity amount, total interest earned, and total amount invested, an HDFC FD calculator enables you to plan your finances for future goals.
• Helps to Compare Investments: You can experiment with different investment amounts to see how they impact the maturity value. This allows you to optimize your investment strategy with the FD that will suit you the best.

Steps to use the HDFC FD Calculator?

Using the HDFC FD calculator is a straightforward process. Here's a breakdown of the typical steps involved:

1. Input Principal Amount (₹): Enter the total Investment Amount that you would like to invest in HDFC FD
2. Input Tenure (Years): Enter the duration of your investment in years.
3. Input Annual Interest Rate (%): Enter the interest rate that HDFC bank is providing you for your FD (you can also refer to the chart mentioned above)
4. Compounding Frequency: Pre-entered ( HDFC bank calculates its Interest Quarterly
5. Click the "Calculate Maturity " button. This processes your input and generates the estimated results.

Output: The calculator will display the following results:-

• Principal Amount- This shows the total amount you will have invested by the end of the scheme.
• Interest Earned- This shows the total interest Amount you will have earned over the investment period. ( this is calculated quarterly)
• Maturity Amount- This shows the total Amount you will receive at the end of the investment.

Common Mistakes to Avoid While Using the HDFC FD Calculator?

To ensure the accuracy of your calculations, avoid these common pitfalls

• Inaccurate Values: Double-check that you enter the correct investment amount and interest rate.

Conclusion

HDFC FDs offer a safe way to grow your savings steadily with guaranteed returns. They're ideal for short-term goals or regular saving habits. An HDFC FD calculator helps you estimate your returns and plan effectively to maximize your benefit.