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Compound Interest Calculator

Watch compounding turn time into money.

Principal
₹50K
Interest earned
₹32.27K
Maturity value
₹82.27K
  • Principal₹50K
  • Interest₹32.27K

How it works

Compound interest adds each period's interest to the principal, so growth accelerates. Maturity = principal × (1 + rate/frequency)^(frequency × years). More frequent compounding means slightly faster growth.

Example

₹50,000 at 10% for 5 years with monthly compounding grows to about ₹80,700 — over 60% gains without adding a rupee.

FAQs

Compound vs simple interest?

Simple interest pays only on the original principal; compound interest pays on principal plus past interest. Over years, compounding wins by a large margin.

What is the Rule of 72?

Divide 72 by your rate to estimate doubling time. At 12%, money doubles roughly every 6 years; at 8%, every 9 years.

Does compounding frequency matter much?

Somewhat — monthly beats yearly at the same rate. But rate and time matter far more than frequency.

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