Recurring Deposit Installment Calculator | Know your Investment amount

The RD Installment Calculator is available here. Want to know your Recurring Deposit investment amount? Here, you can get the answer through RD Installment Calculator. Read the complete article to know the usage of the Recurring Deposit Installment Calculator.

Recurring Deposit

The Recurring deposit is mainly used for saving purpose. Among all saving schemes, it is one of the best saving schemes. Many people are using RD Accounts for saving their money safely. Many banks are offering high-interest rates on Recurring deposits. Compared to the regulated depositors, the senior citizens have more benefits and advantages. There is an option for you to select your investing amount and tenure period. Therefore, apply for a new RD Account to receive the offers. The RD Account Opening Procedure also given in the below sections. The applicants of Recurring Deposit can also calculate their RD maturity amount through RD Calculator. It is very easy for you to calculate the instalment amount in recurring deposit instalment calculator.

If anyone wants to know the investment amount of the Recurring Deposit, they can use the RD Installment Calculator. If you don’t know the usage of the Recurring Deposit Installment Calculator, you can see the below sections. For the sake of people, we are providing the usage of the RD Installment Calculator. The users can also see the instalment calculation formula in the below sections. So, follow the below sections to know those details.

RD Installment Calculator

The Recurring Deposit instalment calculator is mainly used for calculating the investment amount. Before calculating the investment amount, everyone should know the interest rates and the tenure period. Therefore, you have to enter the details like interest rate, tenure period, maturity amount, etc., in the recurring deposit instalment calculator to know your investing amount. The users can also calculate the investment amount with the given formula. So, read the below sections carefully to know those details.

Recurring Deposit Planner

How to Use RD Installment Calculator

  • The Recurring Deposit Installment Calculator appears on this page.
  • Enter the necessary details like maturity amount, interest rate, tenure period and duration.
  • Select the compounding either quarterly or half-yearly or monthly or annually.
  • Click on the calculate button.
  • Finally, your instalment amount appears on the screen.
  • You can trail with certain interest rates, tenure period and maturity amount.

To calculate the recurring deposit investment amount through online, you can follow the below steps. For manual calculations, you can use the below formula. Therefore, the interested candidates who want to know the recurring deposit investment amount through formula can see the below sections.

RD Investment Amount by Formula

The formula used to calculate the Recurring Deposit investment amount is given below. So, read the below sections carefully to know the calculations of RD investment amount.

The formula for RD Investment Amount R = M/ [ (1+i)n-1] / 1-(1+i) -1/3

Where

R = Monthly installment.

M = Maturity amount.

i = rate of interest divided by 400.

n = number of quarters.

The investment amount varies according to the compounding interest. Therefore, we are providing certain examples on compounding interest in the below sections. So, learn the calculations to know your investment amount.

Compounding Interest Calculations

The users can see the compounding interest quarterly, half-yearly, monthly and annually calculations on this page. Therefore. the individuals can easily calculate their recurring deposit investment amount through the below examples.

Quarterly Calculations for RD Installment Amount

The formula used to calculate the Quarterly Compounding Interest is

R = M/ [ (1+i)n-1] / 1-(1+i) -1/3

Where

M = 51917

i = 8.25

t = 10

Substitute the given values in the given formula

R =  M/ [ (1+i)t/3-1] / 1-(1+i) -1/3

R = 51917/ [ (1+8.25/400)10/3-1]/ 1-(1+8.25/400)-1/3

R = Rs.5000

Half Yearly Calculations for RD Installment Amount

The Half Yearly compounding interest is calculated through the below formula.

R = M/ [ (1+i)t/6-1] / 1-(1+i) -1/6

Where

M = 51897

i = 8.25

t = 10

Substitute the given values in the given formula

R =  M/ [ (1+i)t/6-1] / 1-(1+i) -1/6

R =51897/ [ (1+8.25/600)10/6-1]/ 1-(1+8.25/600)-1/6

R = Rs.5000

Compounding Monthly Calculations for RD Installment Amount

To calculate the Compounding Monthy interest, you can use the below formula

R = M/ [ (1+i)t-1] / 1-(1+i) -1

Where

M = 51930.

i = 8.25

t = 10

Substitute the given values in the given formula

R =  M/ [ (1+i)10-1] / 1-(1+i) -1

R = 51930/ [ (1+8.25/1200)10-1]/ 1-(1+8.25/1200)-1

R = Rs.5000

Compounding Annually Calculations for RD Installment Amount

To calculate the Annually Compounding interest the individulas can use the below example.

R = M/ [ (1+i)t/12-1] / 1-(1+i) -1/12

Where

M = 51859.

i = 8.25

t = 10

Substitute the given values in the given formula

R =  M/ [ (1+i)t/12-1] / 1-(1+i) -1/12

R = 51859/ [ (1+8.25/100)10/12-1]/ 1-(1+8.25/100)-1/12

R = Rs.5000

Advantages of RD

There are many advantages in Recurring Deposit. Most of the banks are offering high-interest rates on Recurring Deposit. We are providing some of the advantages in the below sections. So, see the advantages to get an idea about the recurring deposit.

Planning Short Term Goals:

The individuals can save their money risk freely in Recurring Deposit. It is better to choose a short term for a tenure period of 1 year to 3 years. If you are planning for your kid’s education or any other purpose, you can select the short term period.

Online Recurring Deposit Features:

Most of all banks are offering Online Recurring Deposits. You can use Online Recurring Deposit for opening a new account, Closing the RD Account, Depositing money in a recurring deposit account, for seeing the transactions and deposit details, etc.

Recurring Deposit Interest Rates:

The interest rates of Recurring deposit depends on the tenure period and deposit amount. Sometimes it depends on the banks also. Many banks are offering high-interest rates for senior citizens. You can calculate in RD Calculator and RD Installment Calculator to know those difference of the interest rates.

Ease of Investment:

In Recurring Deposit, the individuals have to deposit some amount of money every month in banks. It is very beneficial for salaried customers. Every month they can save some money from their salary for depositing in RD Account.

Flexible Recurring Deposit:

According to the scheme, you can withdraw your maturity amount from Recurring Deposit Account. Many banks are offering flexible RD Schemes. So, choose the best one from them.

Disadvantages of Recurring Deposit

Before saving your money in Recurring Deposit, Everyone should also know the drawbacks. Some of them are given below.

Liquidity:

If you deposit the money once, it is not possible to withdraw the money at any time. If you want to discipline your Recurring Deposit savings, this scheme is not suitable for you.

Rate of Interest:

The interest rates of Recurring Deposit is lower than the regular fixed deposit.

Monthly Instalments:

Once, if you fix the recurring deposit money there is no option for changing. You have to pay the money every month. So, the users have to fix some amount which is comfortable to pay the money every month in the Recurring Deposit.

Updated: March 4, 2017 — 12:40 pm

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