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Post Office FD Calculator: Calculate Post Office FD Interest Returns using this calculator. Built for Post Office Savings Schemes offered in India

Put your bank FD to test on our FD calculator!

FD Period


Interest Rate



₹ 1,00,000


₹ 22,504


₹ 1,22,504

Bank NameTenure (years)FD Rate
India Post (Post office)16.90%
India Post (Post office)57.30%
SBI (State Bank of India)16.80%
SBI (State Bank of India)56.85%
ICICI Bank16.90%

Return of top performing Equity mutual funds of 2018 with One Time investment of₹ 1,00,000 for 3 year(s)

RankFund NameYearly ReturnMaturity Amount
1Franklin India Feeder - Franklin U.S. Opportunities Fund Growth
Global - Other
3Parag Parikh Long Term Equity Regular Growth
4ICICI Prudential Technology Fund Growth
Sector - Technology
5Aditya Birla Sun Life Digital India Fund Growth
Sector - Technology
6Axis Bluechip Fund Growth
7Mirae Asset Large Cap Fund Regular Growth
8Aditya Birla Sun Life India GenNext Fund Growth
Equity - Consumption
9Axis Small Cap Fund Regular Growth
10Motilal Oswal Multicap 35 Fund - Regular Plan - Growth
11ICICI Prudential FMCG Fund Growth
Sector - FMCG
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Post Office Fixed Deposit Savings Scheme

Post Office Fixed Deposit is a scheme that is similar to a bank fixed deposit. This scheme is offered by the Indian Postal Services, where money is deposited for a fixed time period and guaranteed return is earned on that. This investment option is a good for those who want to deposit a lump sum amount for a fixed tenure. Upon maturity, you will get the deposited amount along with the interest earned on it.

The deposit tenure can be from 1-5 years for a POFD. Longer the investment duration, higher is the interest rate. This investment scheme is suitable for highly conservative investors. At times, interest rates offered by post office fixed deposit can be higher than the bank fixed deposit rates.

Features & Benefits of Post Office Fixed Deposit

1. POFDs have tenures ranging from 1 year to 5 years.

2. Any individual can open a fixed deposit in the post office

3. Account can be opened by either cash/ cheque. In case of cheque the date of realization of cheque will be considered as the date of opening of account.

4. Minimum deposit of Rs 200 is required to open POFD account. And, there is no maximum limit.

5. Any number of accounts can be opened in any post office

6. A joint account can be opened by two adults

7. A single account can be converted to a joint account and vice-versa.

8. Nominees can be added either while opening the account or later. Furthermore, the person you nominate can also nominate a person even with an existing POFD account.

9. Account transfer from one post office to another is allowed.

10. POFD account can be opened in the name of a minor and can be operated by parent or legal guardian. Minors aged 10 years or more can open and manage the account.

11. Minor after attaining majority has to apply for conversion of the account in his name.

12. POFDs have attractive interest raters that are sometimes higher than Bank FD rates.

13. Interest is payable annually but calculated quarterly.

14. Tax benefit on the investment under 5year post office time deposit under section 80C of the Income Tax Act, 1961.

15. The interest paid by the post office is subject to TDS. If no TDS is deducted, the same needs to be offered in the return of income.

16. Account renewal upon maturity can be done for the same tenure as it was opened in the beginning. Interest rate applicable on the day of maturity will be applied here.

17. Premature withdrawals are subject to certain terms and conditions laid by the post office.

18. NRIs are not permitted to open POFDs.

19. The interest rate for a five-year deposit is notified before April 1 every year. It is usually aligned with G-sec rates of similar maturity with a spread of 0.25%.

20. This is a scheme is offered by the government of India, hence does not require any commercial rating.

Post office FD Interest Rate History

Post Office Fixed Deposits Scheme is one of the most sought-after scheme in the country due to its low risk and assured return. Currently there are over 1 crore accounts. The interest rates of Post Office Fixed Deposit Savings scheme from the year 2013 is given below. The interest rates have come down from 8.5% for 5 year tenure to 7.8%. The longer the tenure the higher the interest rate. Currently, the interest rates are 7% for a tenure of 1,2, and 3 and 7.8% for 5 years.


How to use FD calculator?

Use Upwardly’s FD calculator to find how much corpus you require to maintain a comfortable retired life in India.

Here, all you need to do is enter the amount that you would want to invest and the time period. You can choose to compound your investment monthly, quarterly, half yearly or yearly at a given rate of interest.


The rate of interest can be changed and you can see how much you would gain upon maturity.Therefore, this calculator helps you estimate the return that you can expect from an FD that is compounded monthly, quarterly, half yearly or yearly and at different interest rates.

Comparison of Post Office FD to Bank FD

Post Office FD and Bank FD are somewhat similar. POFD’s can be opened in post offices,public sector banks and private sector banks.

Minimum amount: One can open a POFD with a minimum amount of Rs 200 with no limit on the maximum amount. Most of the banks have higher minimum amount required.

Interest rate: Banks offer lower rates than POFD’s. Hence the returns post inflation are lower than POFD’s. Rs 1,00,000 invested in Post Office FD gives higher interest rate than a Rs 1,00,000 invested in Bank FD. Also, the POFD’s interest rates are aligned with government securities rates and are not highly manipulated. Bank FD rates are controlled by the banks.

ComparisonPost Office FDBank FD
Investment Amount1,00,0001,00,000
Duration (Years)55
Interest Rate7.80%6.85%
Maturity Amount1,43,8921,40,709
Inflation Rate4%4%
Interest Rate Post Inflation3.80%2.85%

Tax benefits: Both Bank FD’s with duration of 5 years and POFD’s of 5 years are qualified for tax deduction under section 80C of the Income Tax Act.

Post office FD as a savings mode

Post Office FD is one of the safest low risk way of saving ones money. Investors looking for low risk and assured returns can park their savings in POFD instead of keeping them idle in a bank account. They provide capital protection and also give returns to protect against inflation. Investors who have financial goals to be realized in the next 5 years can look at this option for saving their money. Also, saving through POFD’s have tax benefits. One can claim tax deductions up to Rs 1,50,000 under Section 80C of the Income Tax Act by investing in 5- year POFD’s.
Also, the scheme is run by the government of India so it doesn’t need any rating and is considered very safe for investment. With the current inflation rate averaging around 4%, POFD’s is one of the better options for parking savings. POFD’s fall under ETE category. The investment and lumpsum withdrawal fall under exempt category but the interest earned is taxable at the slab rate. A TDS will be deducted at 10% (if PAN details are provided and if not 20% will be deducted) on interest earned above Rs 40,000. For senior citizens the TDS threshold is Rs 50,000. Also, investing in POFD’s is very liquid. One can opt for pre mature withdrawal and also take a loan against the investment. Since there is no limit on the number of accounts, it is advised to have multiple accounts with smaller amounts instead of one account with a large sum. This will help the investor in case of a pre-mature withdrawal and investor will lose interest amount on few deposits. Also, one can stagger their investments over different tenures to create variable income streams over time.


Q. Where Can You Open an Account?

A. You can open the account in any of your nearest/ preferred post office.

Q. How to Open FD in Post Office?

A. The documents required for post office fixed deposit are:

  • An account opening form from your nearest post office
  • Two passport size photographs
  • Identity and address proof such as the Aadhaar card, driving license, passport, voter ID card, PAN card, ration card or declaration in Form 60 or 61 as per the Income Tax Act, 1961
  • Fill the form and submit the required documents in a post office.

    Q. What is the Minimum and Maximum Deposit Limit?

    A. With a minimum deposit of Rs. 200, you can open a time deposit account at any post office. And, there isn’t any maximum limit for this.

    Q. How to Transfer Account from One Post Office to Other?

    A. For transfer of account, depositor needs to apply in the prescribed form SB10(b) or using manual application. This application is required to be submitted to the post office where you are holding an account.

    Q. How to redeem?

    The deposit amount can be withdrawn at the end of the tenure. If not withdrawn then the maturity income is eligible for savings account interest for 2 years. Also, there is an option for the FD account to automatically renew for the same time period chosen.

    Q. Can I transfer my POFD account from the post office of one state to another?

    A. Yes. Account opened at one place can be transferred to any other branch of the post office in the same state as well as in other states.

    Q. Can my POFD account be renewed after maturity?

    A. Yes, it can be renewed after maturity and if the depositor does not withdraw money after maturity, the amount is reinvested in the same POFD but at the rate that is effective on the day of maturity.

    Q. Do senior citizens get additional interest on POFDs?

    A. No, the rate of interest remains the same for regular citizens and senior citizens. But they have a benefit for the interest received. Any interest received by senior citizens from deposits in Post Office would be tax exempt up to Rs 50,000 under Section 80TTB.

    Q. Can NRIs benefit from POFDs?

    A. No, only Indian citizens are allowed to open POFD accounts. NRIs are not eligible for POFDs.

    Q. Are loans provided against FDs at India Post Office?

    A. Yes. FD account can be pledged as security against a loan.

    Q. Does India Post impose any penalties for premature withdrawal of FD deposits?

    A. Premature withdrawal or closure is permitted after completion of six months of opening the deposit. The account can be closed before one year and after 6 months of opening the account, in which case, the amount invested is returned without interest to the depositor. If withdrawn after, prematurely, interest will be paid only for the completed years. (In case of a bank FD, if a bank imposes penalties, the depositor will be paid interest at a lower rate than what was opted for).

    Q. Can POFDs be opened online?

    A. No. The scheme is not available online. At present, POFDs can be opened only by visiting the post office. The depositor has to go to the nearest post office or bank and open the account.

    Q. I do not have an Aadhaar Card. Can I invest in POFD?

    A. Yes. A depositor has to have only one identity proof to open the account. He has to submit an attested copy of his identity proof and show the original copy at the time of account opening for verification. The documents that can be used to open the POFD account apart from Aadhaar card are PAN card, Voter ID card, driving license, passport or the income tax declaration form no. 60 or 61 as per the Income Tax Act, 1961.

    Q. Can minors open POFDs?

    A. Minors ageing 10 years or more can open a Post office Term Deposit account but they have to get it transferred in their name by applying for it when they become 18 years old. The rate of interest offered to minors is the same as that offered to regular citizens.