Maturity amount and interest on a ₹3,00,000 fixed deposit at common bank rates.
A fixed deposit of ₹3,00,000 (3 lakh) for 2 years at 7% interest, compounded quarterly, grows to ₹3,44,665. You earn ₹44,665 in interest.
7% is an example rate. FD rates differ between banks and change often — check your bank's current rate.
| Interest rate | Interest earned | Maturity amount |
|---|---|---|
| 6% | ₹37,948 | ₹3,37,948 |
| 6.5% | ₹41,292 | ₹3,41,292 |
| 7% | ₹44,665 | ₹3,44,665 |
| 7.5% | ₹48,067 | ₹3,48,067 |
| 8% | ₹51,498 | ₹3,51,498 |
| 8.5% | ₹54,959 | ₹3,54,959 |
| Tenure | Interest earned | Maturity amount |
|---|---|---|
| 1 year | ₹21,558 | ₹3,21,558 |
| 2 years | ₹44,665 | ₹3,44,665 |
| 3 years | ₹69,432 | ₹3,69,432 |
| 5 years | ₹1,24,433 | ₹4,24,433 |
FD interest is added to your income and taxed at your slab rate. Here you earn about ₹22,332 a year on average. Banks deduct TDS when your interest with them crosses the yearly threshold (₹50,000 for most people and ₹1 lakh for senior citizens from FY 2025-26). If your total income is below the taxable limit, submit Form 15G (or 15H if you're a senior citizen) to avoid TDS.
At 7% with quarterly compounding, a ₹3,00,000 FD for 2 years earns about ₹44,665, and the maturity amount is ₹3,44,665.
Yes. FD interest is taxed at your income tax slab rate. Banks may also deduct TDS if interest exceeds the yearly threshold.