How FD interest is calculated
Most Indian banks compound FD interest every quarter. For a cumulative FD the maturity value is A = P × (1 + r/400)4t, where P is the deposit, r the yearly rate and t the tenure in years. FDs shorter than 6 months earn simple interest.
With a payout FD (monthly, quarterly…) the interest is paid out instead of reinvested, so you get your deposit back at maturity and the interest along the way. Payout FDs earn slightly less overall.
FD interest is taxable at your slab rate, and banks deduct TDS once your interest crosses a yearly threshold. The figures here are before tax.
Results are estimates for illustration only, not financial advice. Banks and schemes may round, apply TDS or use slightly different day counts — confirm figures with your bank or employer.