HDFC FD Calculator
The largest private sector bank in India, HDFC Bank is best known for offering a wide range of financial services, including highyielding fixed deposit schemes. To facilitate secured investment in FD schemes, you can also use an FD calculator and figure out the interest income in advance. This will help you to plan your finances better.
Let’s discuss how to use the HDFC FD calculator to know the interest income and maturity amount of your fixed deposit.
How to Use HDFC FD Calculator?
Here is a stepwise process that you need to follow if you want to use the HDFC FD calculator for future financial planning.
Step 1: Enter the Investment Amount
Enter the initial investment amount you want to deposit in your HDFC FD account. You can also use the slide bar to input your desired amount.
Step 2: Enter Tenure of Investment
After selecting a type of HDFC FD scheme, enter the tenure in terms of months or days for your investment. You can also use the slide bar to input the tenure details. The minimum tenure for shortterm deposits starts from 7 days, whereas the minimum tenure for other types of deposits is 6 months.
Step 3: Enter the rate of interest
Use the slide bar or simply enter the rate of interest offered by HDFC Bank.
Once you have entered all your details, the HDFC Bank FD calculator will automatically calculate and show the total investment amount, interest income and total returns on the righthand side. It is that easy and simple!
How Does an FD Calculator Work?
An FD calculator helps to determine an FD investment's interest income and maturity amount. It calculates the two while considering the principal amount, tenure of investment, and interest rate.
Formula to Calculate HDFC FD Returns
You can calculate the maturity value of your FD in two ways  the simple interest method and the compound interest method. Let's find out more about these two formulas.
1. Simple Interest
Under the simple interest method, the amount of interest is only calculated based on the sum of money deposited and the applicable interest rate without using any compounding power. This method has a straightforward formula, where the principal amount is simply multiplied by the rate of interest and tenure.
Simple Interest = (P * R * T)/100
Here,

P (₹) = Principal Amount or initial sum of money invested,

R (%) = Rate of Interest payable by a bank

T (years/months/days) = Tenure of an FD scheme.
Let’s see an example to understand how the HDFC fixed deposit calculator uses this method to calculate all returns.
Suppose you have invested ₹50,000 in an HDFC FD scheme for 8 years, with an applicable interest rate of 7%.
Using this simple interest method, we can find out the interest you will earn and the maturity value of your investment after 8 years.
Here, Principal Amount (sum of money to be invested) = ₹50,000, Rate of Interest (payable by a bank) = 7% and Tenure (the time period of an FD investment) = 8 years.
So, by putting the values in the formula,
Simple Interest = ₹(50,000 * 7 * 8) /100 = ₹28,000.
Maturity Amount = Principal Amount + Simple Interest = ₹(50,000 + 28,000) = ₹78,000.
Hence, you will receive a maturity amount of ₹78,000 after 8 years of investment in this FD scheme.
2. Compound Interest
Under this method, the amount of interest is calculated on the basis of the principal amount as well as the interest accumulated throughout the tenure. In simpler words, the interest is calculated on a compounded basis, and you earn interest over interest.
Let’s understand this further by checking out the formula to find out the maturity amount.
A = P (1+r/n) ^ (n * t)
Here,

P = Principal Amount.

A = Maturity Amount,

r = Rate of Interest,

n = Number of times interest is compounded in a year

t = Number of years
Now, let’s assume you want to invest in another HDFC FD scheme by depositing a sum of ₹1,00,000 for 5 years. This scheme has an applicable interest rate of 7%, paid semiannually.
So, your Principal Amount (P) = ₹1,00,000, Number of years (t) = 5, Number of Compounds in a year (n) = 2 and Rate of Interest (r) =7%.
By putting in the values in the formula mentioned above, your Maturity Amount (A) = ₹{1,00,000 (1+0.07/2) ^ (2 * 5)} = ₹1,41,059.
Therefore, if you invest in this HDFC FD scheme, you will receive a maturity amount of ₹1,41,059 after 7 years.
Now, you can find the amount of interest by subtracting your deposit money amount from your maturity value.
Compound Interest Earned = Maturity Value  Principal Amount = ₹(1,41,059  1,00,000) = ₹41,059.
This means that this FD scheme will provide you with an interest of ₹41,059 over 7 years.
Advantages of Using the HDFC FD Calculator
Here are some of the advantages of using the HDFC FD calculator in 2023.

This tool facilitates quick calculation of interest amounts for all types of HDFC Bank FD schemes with varying interest rates.

The HDFC Calculator displays accurate results with respect to the details entered by an individual while eliminating all possibilities of human errors.

Its automated process saves time and resources for individuals by calculating FD returns in just a matter of seconds without involving any hassle.

It has a userfriendly interface, making it easier for individuals to access it for calculations from all devices. Moreover, individuals can use this advanced financial tool and avail of its benefits for free.

Through an HDFC FD interest rates calculator, an individual can compare returns earned from a particular scheme with different tenures. This helps them choose an FD scheme with a tenure most suitable for their financial requirements.

It helps individuals figure out the earnings expected from their investment portfolio in advance so that they can plan their finances accordingly.

The HDFC FD Calculator comes up with a detailed analysis and a graphical representation of how interest accumulates over time till maturity.
Simply put, it is in your best interest to use the HDFC FD calculator before investing in any type of FD scheme. An FD calculator determines the returns on a fixed deposit investment according to the prevailing rate of interest payable by the bank. Since FD rates are subject to change, you can also consult a bank representative to determine exact returns.