Fixed Deposit Calculator in Nepal
Want to use the Fixed Deposit Calculator in Nepal for free? Calculate Fixed Deposit (FD) Grand Total and Interest rates on annual, semi-annual, quarterly, monthly, and daily basis.
What is Compound Interest?
Compound interest on a fixed deposit is the interest that is earned on the principal
amount, plus the interest that is earned on the interest that has accumulated.
The compound interest formula is as follows:
where,
TA: Total Amount including Interest
p: Principal Amount
r: Rate of interest
n: Number of times the interest is compounded per year
t: Time period
What is Fixed Deposit?
A fixed deposit is a lump sum of money that you deposit with a financial institution for
a set period of time, during which you will earn interest at a fixed rate. Many banks
and credit unions offer fixed deposit accounts, also known as term deposits.
Fixed deposits are a great way to save money because they offer a higher interest rate
than a regular savings account, and they are a safe investment because your money is
guaranteed.
How is Fixed Deposit calculated?
For Fixed Deposit, you need to use the following formula.
The formula is as follow: TA = p(1 + r/n)^nt
Practical Example
If someone invests Rs. 100000 at a 10% interest rate, and the interest is compounded annually, the future value of the investment after 5 years would be Rs. 1,61,051.
Principal: Rs. 100000
Rate: 10%
Tenure: Annual (1)
Time: 5 years
Grand Total: Rs. 1,61,051
How to use Fixed Deposit Calculator?
You can calculate Fixed Deposit Calculator by simply entering Total Deposit Amount, the fixed interest rate, time in months, tenure (daily, monthly, quarterly, semi-annually, annually) and hit Calculate Button. After that you can see Grand Total Amount and also Total Interest.