RD calculator — monthly deposit discipline.
A recurring deposit locks in a fixed monthly contribution at a guaranteed rate, compounded quarterly. Lower yield than SIP (6-8% vs 12% equity), but no volatility. Good for emergency funds, short-term savings goals, or a disciplined cash-bucket.
Your RD
Bank RDs compound quarterly. Typical rates: SBI 6.5-7%, HDFC/ICICI 7-7.5%, small-finance banks 7.5-9%. Post Office RD pays 6.7% (Q4 FY26).
RD vs SIP vs FD
- • RD (6-8%) — guaranteed, monthly deposit. Taxed at slab. Missing a month attracts a small penalty.
- • SIP in debt MF (7-8%) — comparable yield, more flexibility, slab-taxed (post-April 2023 debt MF rules).
- • SIP in equity MF (12%) — higher expected return, 12.5% LTCG tax after ₹1.25L, more volatility.
- • Lumpsum FD (7-7.5%) — requires capital upfront. Same quarterly compounding, no monthly discipline needed.
When RD beats SIP:very short tenure (<2 yr) where equity can lose money; conservative cash bucket; employer-mandated monthly autopay.
Paired tools
Research tool · not investment advice.
Axel Markets is an information + analytics product. We are not a SEBI-registered Research Analyst (RA) or Investment Adviser (IA). Nothing on this page is a buy, sell, or hold recommendation. Past performance is not indicative of future returns. Verify all data against the authoritative source (NSE, BSE, AMFI, SEBI, company RHP / factsheet) before acting. RD interest is taxable at slab. 10% TDS once total annual interest across the bank exceeds ₹40k (₹50k for seniors). Submit Form 15G/15H to prevent TDS if total income is below basic exemption.