Axis Bank Fixed Deposit (FD) Interest Calculator

How Can Axis Bank Fixed Deposit Calculator Help?

Like all others in the Indian banking industry, Axis Bank offers multiple options in the Fixed Deposit product range to suit individual preferences. More often than not, these multiple options lead to investor confusion about the right product to choose. It is imperative to understand that the FD interest rate depends on the key factor denoted by the deposit’s tenure. As a thumb rule, the higher the interest rate, the higher the yield.

Looking for more insights? Try our SIP Calculator.

How Axis Bank FD Calculator Work?

Axis Bank Fixed Deposit and the Fixed Deposit Plus are the popular products in their bouquet. It is essential to learn about the interest rates applied in the two to comprehend how the Axis Bank FD Interest Calculator works to help the investor design their account.

The Axis Bank FD Interest Calculator provides the platform to inform the applied rate and the final yield. This information is only indicative to help the investor make an informed choice. It also depicts a clear picture of the size of the corpus on maturity, depending on the chosen period, matching one’s life goals.

1. Access the Tool

   Visit the Axis Bank FD Calculator on the official website. You will typically see a clean interface with sliders or input boxes.

2. Enter Your Investment Details

   • Customer Type: Select whether you are a Regular or Senior Citizen. Senior citizens usually get a higher interest rate (typically an additional 0.50% to 0.75%).
   • Deposit Type: Choose between Cumulative (interest reinvested) or Non-Cumulative (regular payouts).
   • Principal Amount: Input the total sum you wish to invest (minimum starts at ₹5,000).
   • Tenure: Select your investment duration in Years, Months, or Days. The tenure can range from 7 days to 10 years.

3. Review the Results

   Once the details are entered, the calculator will instantly display:

   • Total Interest Earned: The profit on your principal.
   • Maturity Amount: The total sum you will receive at the end of the term.
   • Applicable Interest Rate: The percentage based on your selected tenure.

Simple Interest vs. Compound Interest

The critical point to remember is that the Fixed Deposits attract simple interest for periods of less than six months while those invested for more prolonged periods enjoy compounding at quarterly rests. What does interest mean? In simple terms, interest is the percentage of the “principal” or the initial amount added to the principal over a defined period. There are two types of interest – simple and compound. Let us see how the two are defined:

Simple Interest: It is the percentage of the principal added to the principal regularly on the defined period. The formula expresses it:

• I = pnr, where I denote the interest amount, p is the principal, n is the period, and r is the applicable rate of interest.

Compound Interest: The percentage of the principal amount also comprises the previously accrued interest.

The Axis Bank FD Calculator determines the maturity value where the compounding frequency is quarterly. The following formula generates the returns in the Axis Bank FD received by the investor, which is always higher than achieved through simple interest application.

A = P (1+ r/n) ^ n*t, where

• A is the maturity amount
• P is the initially invested principal
• r is the applicable interest rate
• n is the compounding frequency in a year
• t is the FD tenure

How to Use PolicyBazaar Axis Bank Fixed Deposit Calculator?

The Axis Bank FD Interest Calculator works using the essential information needed to calculate the desired outcome. The process is simple and user-friendly at the bank portal. A similar principle is employed at the Policybazaar Axis Bank FD Calculator to help the investor model a suitable deposit. The steps involved are well defined and simple for any layman to use and plan investments meeting individual needs. The following steps are indicative:

• Visit the PolicyBazaar portal and invoke the FD calculator.
• Select the Axis Bank FD Calculator.
• Input the principal amount.
• Select the investment tenure.
• Choose the type of deposit, whether reinvestment, quarterly, or monthly payout.
• Click on the calculate button to get the outcome displayed.

There is no bar on the number of times the calculator is used to evaluate the FD returns and chalk out an investment plan.

Advantages of Using the Calculator:

By now, it is amply clear how important and beneficial it is to use the Axis Bank FD Interest Calculator. The primary reason for using it to evaluate the financials of an investment is its simplicity and round-the-clock availability at multiple digital points. It further eliminates the cumbersome manual, error-prone calculation. Some of the critical advantages of using the Axis Bank FD Calculator are:

• It is operated seamlessly.
• It is readily available online at multiple portals.
• It displays the final maturity value receivable by the investor by automatically populating the applicable interest rate.
• It factors in the TDS, where applicable, in its final output.
• It calculates the outcome accurately.

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