DPS vs FDR
Deposit Pension Scheme vs Fixed Deposit Receipt — how each works, who they suit, and what to consider before choosing.
Content reviewed: September 2026
What is DPS?
A Deposit Pension Scheme (DPS) is a savings product where you deposit a fixed amount every month for a set tenure. At maturity you receive the total deposits plus profit. It suits people who want to build a regular savings habit.
What is FDR?
A Fixed Deposit Receipt (FDR) is a fixed-term deposit where you invest a lump sum for a fixed period and earn interest, usually paid at maturity. It suits people who already have a lump sum to set aside.
Key differences
| DPS | FDR | |
|---|---|---|
| Payment | Monthly deposits | One-time lump sum |
| Tenure | Usually 3–15 years | Usually months to 5 years |
| Best for | Regular savers | Lump-sum investors |
| Interest | Profit on deposits, often monthly compounding | Simple or compound, set by the bank |
| Withdrawal | Usually at maturity | Usually at maturity |
Which should you choose?
- Choose DPS if you can commit to a monthly deposit and want to build savings gradually over several years.
- Choose FDR if you already have a lump sum (for example, savings or a bonus) and want a fixed return for a fixed period.
- Many people use both: FDR for lump sums, DPS for ongoing monthly saving.
Estimate your numbers with the DPS Calculator and FDR Calculator, or see a side-by-side on the Compare page.