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Punjab National Bank (PNB), a well-known public sector bank, offers a range of Fixed Deposit (FD) schemes for regular depositors and senior citizens. The highest rate of interest offered is 6.60% for 1-year deposits. For senior citizens, the rate of interest paid is 7.10% for the same tenure. PNB provides different term deposit options such as e-FDs, Sugam Term Deposits, Multi Benefit, Special, Ordinary, and Anupam Term Deposit Schemes. The bank also offers floating and bulk FD schemes. PNB offers competitive interest rates on all FDs and seniors citizens are eligible to avail special interest rates on all types of deposits.
Any individual, organisation, private company, club, HUF or society can open these Fixed or Term Deposit accounts. Some deposits schemes are open for NRIs too.
Auto-renewal: If the depositor opts for auto-renewal, his/her term deposit will be automatically renewed after maturity except for term deposits under the Recurring Deposit Scheme, Capital Gain Scheme, PNB Tax Saver Scheme, Bulk Term Deposits (above Rs.10 Crore) and Inter-Bank Deposits.
Inclusion of blind and illiterate persons: PNB allows blind and illiterate persons to open a fixed deposit account.
Inclusions of all sections of society: Right from High School girls to beneficiaries of road accident insurance claims, PNB FDs are designed to serve every category of depositors.
Term Deposits like Balika Shiksha can be opened with a nil balance. Usually the upper limit is Rs.10 crore for most fixed deposits.
Term Deposits can be opened from as briefly as 7 days to as long as 10 years. There is the option of auto-renewals at the end of term too.
Any Indian above 10 years old can walk into any branch of PNB and open an account by providing KYC details. For minors below 10 years, parents consent/signature is required.
E-FD: Available to internet banking customers with a PAN card. They can open FDs online.
Interest rates for fixed deposits depend on the card rate applied by PNB. However, there are deposit schemes like Lakhpati where the interest rate hovers around 9 percent. Senior citizens are eligible to earn 0.50 percent more.
Yes, the PNB Tax Saver Term Deposit. At least Rs 100/- or in multiples thereof, subject to a maximum of Rs.1.50 lakh per financial year is acceptable. Deposits cannot be withdrawn before 5 years.
Currently as per Income Tax Act, if the total interest on deposits, per depositor, per financial year, per branch is more than Rs.10,000/-, the bank deducts tax at source (TDS). Form No.15 H/15G has to be furnished by depositors, preferably at the start of the financial year to receive interest on deposits without deduction of tax.
Prospective Senior Citizen Deposit Scheme:This is a scheme for persons aged 55 years and above and up to 60 years. Minimum deposit is Rs.100/- and in multiples of Rs.1/- thereafter. The maximum amount permitted under the scheme is Rs.99, 99,999/-. Extra interest rate as applicable on attaining senior citizenship.
Yes, NRIs can open fixed deposit account with Punjab National Bank. The account can be opened in STG Pound, US Dollars and EURO. Minimum balance required is GBP1000, USD1000 and EURO1000. The interest rates for deposits less than Rs.1 crore is:
1 year- 8.25%
Above 1 year to 2 years- 8.25%
Above 2 years to 5 years- 8.25%
Above 5 years to 10 years- 8%
The interest rates for deposits between Rs.1 crore to Rs.10 crores is:
1 year- 8.25%
Above 1 year to 2 years- 8.50%
Above 2 years to 5 years- 8 %
Above 5 years to 10 years- 8%
The senior citizens will bet an additional 0.5% interest per annum.
PNB does not allow premature withdrawals. But in exceptional cases it is allowed but a certain penalty will be charged at the time of withdrawal. The penalty will be communicated with the customer prior to the closure. In case of premature closure, the interest applicable will be payable minus the penalty. The interest payable is the rate at which the fixed deposit was decided upon at the time of deposit.
Generally PNB allows overdrafts/loans against deposits except on Certificates of Deposit (CD). Such loans are sanctioned by charging interest as per RBI bank rate or as prescribed by the Bank.