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Calculate bank deposit interest online for demand, time, and notice deposits. Enter your principal, interest rate, and term to instantly see your interest earned and total balance.
For lump-sum fixed deposits where principal and interest are paid at maturity.
Enter the bank's posted or effective annual rate. For example, enter 1.95 for 1.95%.
Enter the principal, interest rate, and term to view the estimated deposit interest
For a ¥100,000 fixed-term deposit with a 3-year term and a 2.75% annual interest rate, simple interest would earn ¥8,250 at maturity, for a total balance of ¥108,250. This is one of the most common everyday savings scenarios. Understanding how interest is calculated helps you compare deposit options across banks and terms.
Our Bank Deposit Interest Calculator includes several key fields: Principal (how much you plan to deposit), Annual Interest Rate (the percentage offered by the bank), Deposit Term (in years, months, or days), and Deposit Type (demand deposits, fixed-term deposits, installment savings, principal-withdrawal deposits, notice deposits, and more). You can also use the Interest Method switch to choose between simple and compound interest.
Put simply, bank deposit interest is the “rent” a bank pays for holding your money. Banks use deposits for lending or investment and pay you an agreed rate in return. Interest rules vary significantly by deposit type: demand deposits can be withdrawn at any time, accrue interest based on actual days held, and generally have low rates; fixed-term deposits have a set term and usually pay principal and interest at maturity, with noticeably higher rates; notice deposits require advance notice before withdrawal and typically offer rates between demand and fixed-term deposits.
Interest calculations are based on the Regulations on Savings Management and interest-accrual rules issued by the People’s Bank of China. For most depositors, the two key factors are how long the money is deposited and the annual rate offered by the bank. This calculator completes the math in seconds, so you do not need to work through formulas manually.
Bank deposit interest calculations use two core formulas:
Simple interest: Interest = Principal × Annual Interest Rate × Deposit Term (years)
If the term is in months or days, convert it to years first: months ÷ 12; days ÷ 365 (or 360, depending on the bank’s rules).
Compound interest: Total Balance = Principal × (1 + Annual Interest Rate ÷ Compounding Frequency)Compounding Frequency × Years
Interest = Total Balance - Principal
Simple interest is appropriate when the bank pays interest once at maturity, meaning previously earned interest does not generate additional interest. Compound interest, by contrast, means interest earns interest: at the end of each compounding period, earned interest is added to the principal and begins earning interest in the next period. Most fixed-term deposits in China use simple interest, though some smart deposit products or special offerings may compound interest. If you choose automatic rollover at maturity, the renewed portion effectively creates a compounding effect. This calculator makes the difference easy to compare: select “Simple Interest” or “Compound Interest” under “Interest Method,” and the result cards update immediately.
Here is an example using a ¥50,000 one-year fixed-term deposit at an annual rate of 1.65%:
50000 in the “Principal” field (CNY).1.65 in the “Annual Interest Rate (%)” field.1 for the term and choose “Years” from the unit menu.¥825.00, while “Total Balance” will show ¥50,825.00. These figures update whenever you change an input.Ms. Li deposits ¥200,000 in a 3-year fixed-term account at an annual rate of 2.75%. Let’s calculate it together.
Inputs:
Principal: 200000 CNY
Annual Interest Rate: 2.75%
Deposit Term: 3 years
Deposit Type: Fixed-Term Deposit
Interest Method: Simple Interest
Calculation:
Interest = 200000 × 2.75% × 3 = 200000 × 0.0275 × 3 = ¥16,500
Total Balance = 200000 + 16500 = ¥216,500
Result: The calculator displays ¥16,500.00 under “Interest” and ¥216,500.00 under “Total Balance.” At maturity, Ms. Li receives ¥216,500 in total—¥16,500 more than her original deposit.
Demand deposit: Mr. Zhang has ¥30,000 in a demand account at 0.3% per year for 200 days. Enter a principal of 30000, an annual rate of 0.3, a term of 200 days, deposit type “Demand Deposit,” and simple interest. Interest = 30000 × 0.3% × (200 ÷ 365) ≈ ¥49.32. Demand deposit interest is low, but the funds remain available anytime.
Compound-interest deposit: Assume a bank offers a fixed-term product that compounds annually. You deposit ¥10,000 at 2% annually for 2 years. Enter principal 10000, annual rate 2, term 2 years, choose “Compound Interest,” and set the compounding frequency to once per year. Total Balance = 10000 × (1 + 0.02)² = ¥10,404, and interest is ¥404. Compared with simple interest of ¥400, compounding adds ¥4. The difference may seem small, but it becomes more meaningful with a longer term or larger principal. Adjust the term to see the difference after 10 or 20 years.
The calculator’s interest and total-balance figures show the return on your deposit. To assess the result more fully, consider the following:
Household savings planning: A young couple plans to save for their child’s education with a 5-year deposit. They enter ¥100,000, a 3.15% annual rate, and a 5-year term, then calculate ¥15,750 in interest and a total balance of ¥115,750. This helps them decide whether the funds will cover expected tuition and whether to increase the initial deposit.
Comparing bank rates for retirement savings: Mr. Wang has ¥300,000 set aside for retirement and wants the best fixed-term deposit across several banks. He enters each quoted rate—2.65%, 2.75%, and 2.8%—and immediately sees that the 3-year interest amounts differ by several hundred yuan, helping him choose the highest-rate option.
Financial education content: A personal-finance creator is preparing an article titled “How Much Interest Can ¥100,000 Earn in a Bank Account in One Year?” They use the calculator to compare typical rates for demand, fixed-term, and notice deposits, then share the results to clearly show how actual returns vary by deposit type.
1. Entering a monthly rate as an annual rate: Some banks or products show a monthly rate, such as 0.25%. Entering it directly in the “Annual Interest Rate” field will significantly understate interest. Convert the monthly rate to an annual rate by multiplying by 12, or calculate using months consistently.
2. Overlooking that early withdrawals are generally paid at the demand rate: If you withdraw a fixed-term deposit before maturity—even one day early—the entire deposit period is generally recalculated at the demand-deposit rate, rather than receiving tiered interest for time already held. Many people assume that depositing for two and a half years earns at least two years of fixed-term interest, but that is not typically the case. This calculator calculates complete terms and does not model early withdrawal. To estimate an early withdrawal, manually change the deposit type to “Demand Deposit” and enter the actual number of days held.
3. Setting the wrong compounding frequency: Under compound interest, the number of compounding periods per year affects the final result. Changing annual compounding from once per year to monthly compounding (12 times per year) increases the effective annual rate. Chinese fixed-term deposits rarely compound monthly, so doing this may overestimate the result.
4. Choosing the wrong term unit: The calculator supports years, months, and days. If you intend to deposit for 3 months but choose “Years,” the calculated interest becomes four times the expected amount. Always check the selected unit.
5. Assuming every deposit compounds: Traditional fixed-term savings products in China, including lump-sum fixed deposits and installment savings, generally use simple interest. Compounding typically occurs only when principal and interest are automatically rolled over at maturity. Applying a compound-interest formula directly to a newly opened fixed-term deposit may produce a higher result than the bank will actually pay.
Not for structured deposits or wealth-management products: This calculator assumes a fixed interest rate, protected principal, and certain returns. Structured deposits may be linked to exchange rates, interest rates, indices, or other factors, so their returns can vary and are not suitable for this tool.
Use the bank’s actual rate: You must enter the annual rate manually. Posted rates can change at any time, and actual rates may differ by bank and region. Results are based solely on the rate you enter and do not represent a bank’s final interest payment.
Interest tax not included: China currently exempts savings deposit interest from individual income tax, so this calculator does not deduct tax. You may need to adjust your estimate if policy changes.
Rounding and day-count limits: Interest is shown to two decimal places. For daily interest calculations, banks may use a 365-day or 360-day year. This calculator uses 365 days throughout, so results may differ slightly from those of individual banks.
Disclaimer: This tool is for personal reference and estimates only. It is not investment or savings advice. For actual deposit transactions, rely on your bank contract, deposit certificate, and official banking records.
Q: How is bank deposit interest calculated?
A: The basic formula is “Interest = Principal × Annual Interest Rate × Deposit Term.” Demand deposits are calculated using the actual number of days held, based on a 365-day year. Fixed-term deposits generally accrue interest at maturity; if withdrawn early, the full period is recalculated at the demand rate. This calculator covers both scenarios—enter your numbers to see the result immediately.
Q: How is interest calculated when a fixed-term deposit is withdrawn early?
A: Once withdrawn early, interest for the entire term is generally calculated at the bank’s posted demand-deposit rate on the withdrawal date, rather than applying a discounted version of the original fixed-term rate. For example, if you open a 3-year deposit and withdraw it in year 2, interest is generally calculated only at the demand rate. To estimate it, keep the same principal, switch the deposit type to “Demand Deposit,” and enter the actual number of days the funds were held.
Q: How often is demand-deposit interest paid?
A: Under People’s Bank of China rules, personal demand deposits are settled quarterly. The 20th day of the final month of each quarter is the settlement date, and interest is paid the following day. This calculator calculates interest in one total amount for the days you enter; banks may accrue it quarterly, but the total is equivalent.
Q: Which is better: simple interest or compound interest?
A: With the same principal, rate, and term, compound interest always produces a higher ending balance because earned interest also earns interest. Whether it is available depends on the product offered by the bank. Most fixed-term deposits in China use simple interest, but reinvesting principal and interest at maturity can create a compounding effect. Compare both options in the calculator to see the difference.
Q: Can the calculator estimate notice deposits?
A: Yes. Select “Notice Deposit” under “Deposit Type,” then enter the applicable rate and term, typically a 1-day or 7-day notice period. Notice deposits generally pay more than demand deposits but less than fixed-term deposits, and use the same simple-interest formula.
Q: Why does my result differ from the bank’s calculation?
A: Possible reasons include entering a rate different from the bank’s actual rate, the bank using a 360-day instead of 365-day year, or more complex conditions such as automatic rollover or partial withdrawals that this calculator does not cover. Check the rate shown on your deposit certificate and make sure you selected the correct term unit.
Try your own deposit amount in the calculator above to see how much different savings options could earn.