AAA rated | Interest rates up to 7.75% p.a. | Open with just Rs. 15,000
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Fixed Deposits (FDs) are a preferred investment option for those looking for stable, assured returns. By investing a lump sum for a fixed tenure at a set interest rate, you can steadily grow your savings.
Want to earn high interest rates of up to 7.75% p.a. on Fixed Deposits? - Click here and book your FD now!
Before investing, it’s important to estimate your potential returns to ensure they align with your financial goals. A Rs. 2 Lakh FD calculator helps you do just that by offering quick, accurate projections of interest earned and maturity value, making your financial planning easier and more informed. Let’s see how this tool can support smarter investment decisions.
Features and benefits of a Rs. 2 lakh fixed deposit calculator
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- Helps estimate FD maturity amount instantly
- Provides accurate interest calculations based on tenure and rate
- Simplifies financial planning and goal estimation
- Allows comparison of different FD tenures and interest rates
- Saves time by avoiding manual calculations
- Helps understand the impact of compound interest
- Useful for retirement, emergency, or short-term savings planning
- Supports better investment decision-making through quick projections
Whether you are new to investing or looking to make your money work harder, an FD calculator is a smart starting point for confident decision-making.
Senior citizens earn more! – Get an extra up to 0.35%p.a. interest on FD. Check Eligibility
How do you calculate the interest on a Rs. 2 lakh FD?
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Calculating FD interest depends on factors such as the investment amount, interest rate, and tenure. The two primary methods used are:
1. Simple Interest (SI)Simple interest is calculated for FDs where the interest is paid out periodically without reinvesting.
Formula:
SI = Principal × Rate × Time ÷ 100Example:
If you invest Rs. 2 lakh at an annual interest rate of 6% for 1 year:
SI = 2,00,000 × 6 × 1 ÷ 100 = Rs. 12,000
2. Compound Interest (CI)Compound interest is calculated when the interest earned is reinvested, resulting in higher returns.
Formula:
CI = Principal × (1 + Rate ÷ 100) ^Time – PrincipalExample:
If you invest Rs. 2 lakh at an annual interest rate of 6% for 2 years:CI = 2,00,000 × (1 + 6 ÷ 100) ^2 – 2,00,000 = Rs. 24,720
Comparison tablePrincipal (Rs.)
Interest Rate (% p.a.)
Tenure (Years)
Simple Interest (Rs.)
Compound Interest (Rs.)
2,00,000
6%
1
12,000
12,000
2,00,000
6%
2
24,000
24,720
2,00,000
6%
3
36,000
37,676
For accurate calculations, use the Bajaj Finance FD calculator to plan your investments effectively.
Fixed Deposit variants
Get ROI up to
7.75% p.a.
Senior citizen
Starting with just Rs. 15,000
Get ROI up to
7.40% p.a.
Age below 60 years
Starting with just Rs. 15,000
Get ROI up to
7.40% p.a.
Minor
Starting with just Rs. 15,000
Get ROI up to
7.40% p.a.
HUF
Starting with just Rs. 15,000
Get ROI up to
7.40% p.a.
Sole proprietor
Starting with just Rs. 15,000
Tax on Rs. 2 lakh FD returns
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Interest earned on Fixed Deposits is fully taxable in India and added to your total income, taxed as per your applicable income tax slab.
Example: Suppose you earn Rs. 2 lakh as FD interest in a financial year and fall in the 20% tax bracket. Your tax liability on this income would be Rs. 40,000.
Additionally, if your FD interest exceeds Rs. 40,000 in a year (Rs. 50,000 for senior citizens), the bank deducts TDS at 10% before crediting the interest. In this case, the bank would deduct Rs. 20,000 as TDS on Rs. 2 lakh interest.
However, if your total income is below the basic exemption limit, you can submit Form 15G (or Form 15H for senior citizens) to avoid TDS deduction altogether.
Factors affecting returns on a FD
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- Interest rate: Higher FD interest rates generally lead to better returns on the deposited amount.
- Investment tenure: Longer tenures may offer higher interest rates, increasing total maturity value.
- Deposit amount: Larger deposits can generate higher overall returns due to greater principal investment.
- Compounding frequency: Quarterly or monthly compounding can increase earnings compared to simple interest payouts.
- Type of FD: Regular, senior citizen, tax-saving, and cumulative FDs may offer different return structures.
- Premature withdrawal: Breaking an FD before maturity may attract penalties and reduce returns.
- Inflation rate: High inflation can lower the real value of FD returns over time.
Conclusion
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FD calculator is a valuable tool for anyone planning to invest in fixed deposits. It streamlines the calculation process, offering precise results that support smarter financial decisions.
With the Bajaj Finance fixed deposit calculator, you can quickly estimate your potential returns and explore different investment scenarios. This helps you take full advantage of competitive FD interest rates. Use this reliable tool to kickstart your journey towards secure and rewarding savings.
Frequently asked questions
The maturity amount of Rs. 2 lakh fixed deposit depends on the interest rate, investment tenure, and compounding frequency. Higher interest rates and longer tenures generally result in higher maturity values. Using an FD calculator can help estimate the final amount accurately based on your selected investment details.
The interest earned on Rs. 2 lakh FD varies depending on the FD interest rate, tenure, and payout option chosen. Longer investment periods and higher interest rates can increase total returns. An FD calculator helps estimate potential earnings before investing.
Yes, interest earned on a Rs. 2 lakh fixed deposit is taxable under “Income from Other Sources” as per applicable income tax rules. Banks or financial institutions may also deduct TDS if the interest income crosses the prescribed threshold limit.
Check monthly interest for different FD amounts
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Disclaimer
As regards deposit taking activity of Bajaj Finance Ltd (BFL), the viewers may refer to the advertisement in the Indian Express (Mumbai Edition) and Loksatta (Pune Edition) furnished in the application form for soliciting public deposits or refer https://www.bajajfinserv.in/fixed-deposit-archives
The company is having a valid Certificate of Registration dated March 5, 1998 issued by the Reserve Bank of India under section 45 IA of the Reserve Bank of India Act, 1934. However, the RBI does not accept any responsibility or guarantee about the present position as to the financial soundness of the company or for the correctness of any of the statements or representations made or opinions expressed by the company and for repayment of deposits/discharge of the liabilities by the company.
For the FD calculator the actual returns may vary slightly if the Fixed Deposit tenure includes a leap year.