Term deposit and CD calculator
You lock an amount for a number of months at a fixed rate. See what you get back at maturity, whether interest is compounded or paid at the end.
Result
10,538.22Amount at maturity
- Interest earned
- 538.22
- Effective yield per year (APY)
- 3.56%
Inputs
- Amount deposited
- 10000
- Rate per year
- 3.5
- Term
- 18
- Interest compounding
- Every month
How it is calculated
t = months ÷ 12. No compounding: final = deposit × (1 + rate × t).
Result
Amount at maturity
- Interest earned
- 538.22
- Effective yield per year (APY)
- 3.56%
How it is calculated
- t = months ÷ 12. No compounding: final = deposit × (1 + rate × t).
- Compounded k times a year: final = deposit × (1 + rate ÷ k)^(k × t).
- Effective yield = (final ÷ deposit)^(1 ÷ t) − 1.
Example
10,000 locked for 18 months at 3.5% compounded monthly: 10,538.22 at maturity, that is 538.22 of interest and 3.56% effective per year.
Good to know
- The deposit is assumed to be kept until maturity: no early-withdrawal penalty is counted.
- A US CD (certificate of deposit) is a variant of the same calculation; its advertised APY is the effective yield.
- Before tax.
Frequently asked questions
What is this tool used for?
You lock an amount for a number of months at a fixed rate. See what you get back at maturity, whether interest is compounded or paid at the end.
How is the result calculated?
t = months ÷ 12. No compounding: final = deposit × (1 + rate × t).
What should I check before using the result?
The deposit is assumed to be kept until maturity: no early-withdrawal penalty is counted.