Recurring Deposit Account is also known as RD. This account is most useful for those who are willing to deposit a small amount each month, instead of depositing a lump Sum Amount.
This is true for those who are earning on regular interval or regular salary every month, and they want to save a part of that earnings or salary for a long time so that they meet a specific goal To get it, for which they will need money after 5 or 10 years. Recurring Deposit is the best way to Create a Large Amount in Long Time Without Any Extra Risk.
It is often thought of people that if money stays with them, they will be spent on some other place. For such people, the RD Account is also a great way to do extra savings.
Saving anyway in our country is not a part of people's habit. In such a situation, if you deposit a certain amount every month through RD, then a very large Amount Build becomes in 5 - 10 years and if you do not take the RD before maturity, then there is a way to be Force Saving That is, which is definitely helpful for you during your retirement age.
One thing in RD is very good that you can RD as much as you like, that is, at the interval you can get the money, you can RD at that interval. But once you start RD, then it is necessary to do it for the entire period. Therefore, the biggest thing to keep in mind is that for the time being, you are making RD and for the time being the RD you must have money. There should not be a break in the middle. However, it is not that if you lose any installment of RD, your money will be sinking, but if you lose the installment it will be penalty on it and the interest you get will be reduced.
RD is a method by which you can save a small amount of money to meet your future financial goals. For example, if you want to invest in Stock Market, but you are waiting for something when Market will come down, you will invest in it, then in that case your Instead of keeping the savings in the RD instead of Saving Bank Account, you will not only get more interest, but due to Force Saving through RD, you will have a comparatively larger capital.
Similarly, if after five years you have to buy land to build your own house, for which you will need around 5 lakh rupees. Now if you get the RD for 5 years and deposit about 7,000 rupees every month in the RD Account, which gives you 7% compound interest, then after 5 years you will get a little more than 5 lakh rupees on the maturity of RD will get. However, if you deposit 7000 rupees in your Saving Account per month, on which you get only 4% interest, then after 5 years, you would get only about 4.65 lakh rupees.
In the same way, you can plan for your expenses in the near future such as children's education, marriage, your home, carriage and retirement, etc. and as long as you are going to need Amount, according to RD Start depositing a fixed amount in the account.
Although interest rates are rising in a country like India, but one of the specialities here is that if you make RD for 10 years, and if the interest you get by the RD is 10%, even after 5 years RD The interest paid will be 0, but you will get interest at your RD at the rate of 10% for the next 10 years. So the sooner you start saving through the RD, the more beneficial you are.
Generally you get a little less interest in the RD Recurring Deposit Account than any Fixed Deposit Account in any bank, but when you make Corpus by saving slowly and slightly to Achieve any of your Future Goals , Then Recurring Deposit is the best option.
Generally, people can deposit a certain amount of money in an RD Account for a period of 12 months to Achieve a particular Goal and get the Corpus FD made after 12 months of completion. As a result, a fixed amount of FD for a long period of time becomes a big Wealth Create, which is the only way to be slowly but surely financially competent for a common Middle Class person.
Since the interest rates offered by banks on FD and RD vary depending on the CPI (Inflation Rate) ie, when you apply RD in any bank or post office, Want to know how much time you are getting RD, maturity means you will get a return on completion.
As the bank calculates on the basis of compounding rate, it is difficult to know in simple ways that ultimately you will get a return. Therefore, as a solution to your problem, we have created a very simple Online Recurring Account Calculator (RD Calculator) through which you can not only easily know how much you will get return on your Current RD Instead, you can also calculate that if you want to start a new RD after completing a specific financial goal after a certain time, then how much amount of RD you need to get started today to get the Maturity Amount. Be it