Loan against FD calculator

Loan Against FD Calculator

Estimate a possible borrowing limit and compare EMI with interest-only overdraft costs using rates and terms you enter.

Free online tool INR estimates Browser-based

Interactive estimate

Model a loan secured by your fixed deposit

Enter the FD value, lender’s advance percentage, quoted rates and time left before maturity. The result is an illustration, not lender approval.

Inputs are calculated in your browser and are not sent to this site by the calculator.

FD principal

₹

Enter the deposit amount pledged as collateral. Assumed advance percentage

%

Use the lender’s quoted percentage; this controls the estimated limit.

Amount you plan to borrow

₹

Enter the expected loan or OD draw, not the maximum limit. FD interest rate

%

Enter the annual rate the deposit currently earns.

Loan / OD interest rate

%

Enter the annual rate quoted for this borrowing product. Months left to FD maturity

months

Use the remaining deposit term in whole months. Borrowing term

months

The selected term cannot exceed the FD months remaining.

Repayment style OD cost assumes the entire entered balance remains used. FD compounding frequency Use the frequency stated in the FD terms.

Estimated borrowing scenario

Estimated limit and cost

Estimate ready

Enter valid terms to see an estimate.

AssumptionsRates are editable assumptions. Confirm current rates, terms and tax treatment with the provider.

CurrencyAmounts are shown in Indian rupees (INR).

What this loan against FD calculator estimates

A loan against a fixed deposit lets a depositor seek credit while the deposit remains pledged under the lender’s rules. This calculator estimates a possible advance, the amount you plan to borrow, and the cost under either a monthly EMI loan or a simple interest-only overdraft model. Use it to prepare a comparison before requesting a bank quote or considering early closure.

The advance percentage is an input because there is no single limit for every deposit. Lenders can apply different margins to cumulative and non-cumulative deposits, exclude accrued interest, impose minimums, or restrict eligible products. Official product pages checked on October 1, 2026 show different examples; they demonstrate variation, not a universal promise or recommendation.

For an EMI scenario, the calculator treats the borrowing as a reducing-balance loan with equal monthly payments. For an overdraft (OD), it assumes the full amount entered stays drawn for the entire term and calculates simple interest. Real OD interest may depend on the balance used and the lender’s daily or monthly method; repayments or redraws change the actual charge.

The tool estimates gross FD interest over the same number of months as the borrowing term. Subtracting estimated loan interest gives a simple pre-tax, pre-fee difference. It does not establish that keeping the deposit is better: fees, tax, lien conditions, premature-closure proceeds, compounding rules, and whether the deposit keeps its booked rate all matter.

The eligible amount is only FD principal multiplied by your assumed advance percentage, not an approved limit. A bank may value the deposit differently, cap the amount, require a margin, or decline the application. The selected loan term cannot exceed the FD months you enter, though a lender may require a shorter repayment period.

Before comparing borrowing with breaking the FD, request a written net-closure quote for the date you are considering, including recalculated interest and any penalty. Compare the cash available and the future interest path, not only the FD rate against the loan rate. The deposit may keep earning after an EMI loan is repaid, while an overdraft balance can change; the tools linked below are first-pass estimates.

How to use the calculator

Enter terms from one current lender offer

1

Enter FD principal and margin

Use the principal held as collateral and the advance percentage quoted by the lender. Account for any separate rupee cap.

2

Add borrowing amount and both rates

Enter the amount you are considering, the FD rate, and the loan or OD rate from the same current offer.

3

Match the term to maturity

Set the months left on the FD and choose a loan term no longer than that period.

4

Choose EMI or overdraft

EMI spreads principal and interest over equal monthly payments. OD shows interest on the full entered balance and repayment of principal plus interest.

5

Compare with documents

Check the estimate against sanction terms, lien rules, fees, tax treatment, and the repayment schedule. Change one input at a time to see what drives cost.

Compare repayment models

EMI loan vs overdraft against an FD

Both examples use the same collateral and loan rate inputs, but the repayment pattern changes how interest is estimated. The lender agreement determines the actual method.

Model	What this estimate assumes	What remains to repay
Monthly EMI	A fixed monthly payment on a reducing balance; each payment includes principal and interest.	The model amortizes the full borrowing over the selected term, with no balloon balance.
Interest-only OD	The full entered amount stays drawn for every month; interest is simple and principal does not reduce.	The full principal remains due at the end unless you repay it earlier; real OD charges may use daily balances.

Calculation method

Loan against FD EMI calculator: how the estimate works

The eligibility figure applies your assumed collateral margin to the deposit principal. EMI and overdraft are modelled separately so their repayment patterns stay distinct.

Eligible advance = FD principal × advance percentage. EMI = P × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1), where P is the loan amount, r the monthly loan rate, and n the number of months.

OD interest = amount drawn × annual rate × months ÷ 12. FD interest = principal × ((1 + FD rate ÷ compounding frequency)^(frequency × months ÷ 12) − 1).

Worked example

₹10 lakh FD and ₹5 lakh borrowing

FD principal ₹10,00,000 · assumed advance 75% · loan ₹5,00,000 · FD rate 6.5% compounded quarterly · loan rate 8.5% · term 12 months · EMIMaximum modelled advance ₹7,50,000 · monthly EMI about ₹43,610 · total EMI interest about ₹23,319 · FD gross interest about ₹66,602 · simple pre-tax difference about ₹43,283.

Rounded figures are calculated from these inputs, not a bank quotation. At the same ₹5 lakh draw and 8.5%, the OD model gives about ₹3,542 monthly interest and ₹42,500 over a year if the full balance remains used. Actual OD cost varies with the balance and day-count method.

Assumptions and limits

What to check before relying on an estimate

Confirm whether the lender calculates its margin on principal, current value, or principal plus accrued interest, and whether the percentage differs by deposit type.

EMI assumes a fixed monthly rate derived from the entered annual rate and monthly payments, with no fee added to principal. Daily accrual, payment dates, rounding, and processing costs can change the actual schedule.

OD assumes one unchanged balance is outstanding for every month. It does not simulate daily drawdowns, partial repayments, renewals, lien restrictions, or account fees. Model a lower amount if you expect to use only part of the limit.

FD interest is gross and covers the selected loan term. Tax, TDS, premature-closure penalties, lien restrictions, and rate changes are excluded. The difference is not a post-tax return or complete cost-benefit result.

Use the lender’s latest key-facts statement and sanction letter for a decision. Official product pages can change and do not replace a written quote for your deposit, amount, tenure, and customer category.

Compare offers using the same borrowing amount and end date. An interest-only OD can show a smaller monthly outflow while leaving the principal outstanding; a lower payment is not the same as a lower total obligation.

The displayed difference is gross FD interest for the selected term minus the modelled loan interest. It does not include the value of keeping or closing the deposit, taxes, fees, or the timing of cash flows, so it is not a complete break-versus-borrow result.

This page models Indian fixed deposits and formats amounts in INR. Translated text helps with reading; it does not represent a deposit or loan offer in another country. Use the lender documents for the specific deposit and customer category.

Official product references

Check lender rules directly

Official product pages show why advance margins, eligible deposits, rates, and repayment terms should come from the actual offer. Checked October 1, 2026; terms can change.

Loan against FD questions

Frequently asked questions about loans against fixed deposits

How much loan can I get against my FD?

There is no single amount for every lender or deposit. Multiply FD principal by the advance percentage for the eligible deposit, then account for lender caps, margins, accrued-interest rules, and minimums. This is not an approval.

How is a loan against FD EMI calculated?

The calculator uses a reducing-balance EMI formula with the annual rate converted to a monthly rate. Fees, payment dates, rounding, or another interest method can change the lender’s schedule. If you are checking a ₹2 lakh borrowing, enter ₹2,00,000 as the loan amount and use the rate and term from the same lender offer; the result is still an estimate.

Is an overdraft against FD cheaper than an EMI loan?

It depends on the rate, used balance, duration, and fees. This OD model assumes the full entered amount remains drawn for the whole term.

Can the loan term be longer than the FD’s remaining maturity?

No. This tool blocks a term longer than the months entered as remaining on the FD. A lender may impose an even shorter period.

Does FD interest continue while the deposit is pledged?

That depends on the deposit contract and lien terms. Confirm whether the deposit keeps its booked rate and how maturity is handled.

Does this estimate include tax or fees?

No. It excludes tax, TDS, processing fees, documentation costs, lien conditions, and premature-closure charges. Check a written lender quote.

How does a loan against FD calculator work?

Enter the FD principal, lender-quoted advance percentage, intended borrowing, both annual rates, and months remaining. The calculator estimates a modelled limit, then calculates either equal EMI payments or interest-only overdraft cost. It compares gross FD interest over the same term before taxes and fees; every lender assumption remains editable.

Does FD interest minus loan interest equal my savings?

No. It is only a gross, same-term comparison of two modelled interest amounts. It omits taxes, fees, deposit closure proceeds, cash-flow timing, and any changes to the deposit rate or loan balance.

Does this calculator guarantee loan approval?

No. It applies the percentage and terms you enter to estimate a possible limit. A lender decides eligibility, deposit valuation, margin, documentation, and the final sanctioned amount.

Does an FD overdraft charge interest on the full limit?

This estimate charges interest on the full amount you enter for the entire term. A real overdraft may charge on the daily amount actually used, subject to its contract, fees, and interest calculation method.

What interest rate applies to a loan against an FD?

There is no single rate for every bank or deposit. Enter the annual rate in the current lender offer. Product pages can show lender-specific examples, but check the applicable spread, fees, deposit type, and customer terms in a written quote.