If you plan to live a quality life ahead, you should start saving a small portion of your earnings each month. Only small steps take you to a larger goal. In order to grow your wealth exponentially, spending wisely and developing a saving habit is very crucial.
So, if you plan to invest in fixed deposits for long-term wealth creation, getting the exact value of everything beforehand is essential. This is only possible with a fixed deposit calculator. Being one of the most sought-after investment options nowadays, FD allows you to invest a sizeable amount of money.
What is a Fixed Deposit?
Also known as an FD, it is an investment offered by banks and non-banking financial companies (NBFC) to help individuals save. Here, one can invest a sizeable amount of money because the Interest Rate is predetermined for a fixed period. In this arrangement, an individual invests money for a fixed term and a fixed return.
Before investing in any FD, it is highly recommended to use an FD calculator to get accurate figures.
What are the types of fixed deposits?
Before investing your money, ensure you go for the right fixed deposit investment and calculate interest beforehand. It’s always better to use a fd calculator. Meanwhile, there are two types of fixed deposits –
● Cumulative fixed deposit
It offers compounding benefits to the investors because it gives both the interest and principal on maturity. So, instead of paying the interest periodically, the lender reinvests it and enables the investor to earn interest on interest.
● Non-cumulative fixed deposit
This type of FD is a regular income scheme that allows investors to choose their period of interest payout. So, instead of reinvesting, the lender transfers the amount back to the investor. The non-cumulative fixed deposit is feasible for senior citizens and individuals seeking to generate periodic cash returns from wise investments.
Instead of just giving out basic instructions on how to use a fixed deposit calculator and where you can get one, it would be easier for you if I shared my personal experience.
So, for all kinds of digital payments, I use the Bajaj Finserv application for over a year now. Earlier, there were a bunch of applications on my smartphone, but a good friend of mine told me about this app, which is like an all-in-one platform.
I learned that the Fixed Deposit is quite an attractive investment, so I was curious to experiment with a calculator which is available on this application only.
Here are the step-by-step instructions on how you can use an FD calculator –
- Download the official Bajaj Finserv application on your smartphone. It is available on both App Store and Play Store.
- Sign up with your details
- On the home page, click on three bars on the top right.
- Choose the ‘Try our Calculators’ option.
- Go to ‘Deposits Calculators’
- Choose ‘Fixed Deposit Interest Calculator’.
- Enter the details and know what suits you the best.
(Note: This is not a promotional content write-up. Readers are free to experiment with other applications.)