Fixed Deposits are a very safe mode of investment which is why a lot of people prefer them over other forms of investments. These are accounts which allow people to deposit a sum of money for a fixed period of time. This deposit is repaid only at maturity. For example - Say you make a fixed deposit of S$10,000 for a period of 5 years. You will be paid back your money plus the interest at the end of 5 years.
Fixed Deposits come with a fixed rate of interest which is higher than the interest given in a normal savings account. A lot of banks provide this product to their customers and the rate of interest is not the same everywhere. The interest rate depends on the amount being deposited, the duration and the bank.
A Fixed Deposit calculator is a financial tool for calculating the returns on deposit online. Here, the depositors have to provide certain details such as the amount they wish to deposit, the period and the rate of interest in order to calculate the amount they will get at the time of maturity.
Bank Bazaar’s Fixed Deposit calculator is user- friendly and provides a very good experience to anyone using it. A person just has to provide some details using the sliders on the calculator and the result is provided on the spot. These details are as follows -
The result is shown above the calculator and the break- up is depicted through a pie- chart on the side. The calculator can be found in the ‘Finance Calculator’ section under the ‘Finance Tools’ tab on Bank Bazaar’s website.
Calculating in advance allows a person to compare the fixed deposits provided by different banks and financial institutions which can help him choose the best one with higher returns. This calculation also helps him to plan his finances well. A FD calculator can come in handy during the time of deposit renewals. At the time of maturity, a person can use this tool to figure out if they should go ahead with the same scheme or change it.