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 5.75% p.a. for 1-year deposits. For senior citizens, the rate of interest paid is 6.25% p.a. 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.
Eligibility criteria for PNB FD
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.
PNB FD schemes
- FD scheme for road accident victims: This scheme is for beneficiaries of motor insurance claims. Any individual/dependent (singly or jointly with others), minors aged 10 years and above in his own name and below 10 years under guardianship, is eligible to open an account under this scheme provided there are Court orders in support of the claim in his/their names.
- PNB Special Term Deposit scheme: Minimum 1 year to 10 years even for incomplete quarters.
- PNB Sugam Fixed Deposits: FDs from Rs.10,000/- to Rs.10 crore for as briefly as 46 days. No penalty on premature part/full withdrawal.
- PNB Varshik Aay Yojna: FDs from Rs.10,000 to Rs.99.99 lakh from 24 months to maximum period of 120 months
- PNB Anupam Term Deposit Scheme: Has inbuilt overdraft facility, deposits from Rs. 10,000 to Rs.99,99,000/- Learn more about PNB Anupam Term Deposit Scheme
- PNB Balika Shiksha: A sum of Rs.3,000 will be deposited in the name of girls passing class VIII from Kasturba Gandhi Girls High Schools and SC/ST girls who pass class VIII and enrol for class IX in state/UT government aided or local body schools in the academic year 2008-2009 onwards.
- Capital Gain Account: Individuals can open this account for crediting amount from capital gain. Joint accounts cannot be opened under this.
- PNB Dugna Fixed Deposit: FDs can be opened for a period up to 99 months with a minimum amount of Rs.5,000 and multiples of Re 1/- and Rs 1 crore per day. Under the scheme, Non-resident Indians can open NRO accounts. Read more about PNB Dugna Scheme
- PNB multi-benefit Deposit Scheme: Anything from Rs.100 to Rs. 99.99 lakhs can be deposited with multiple benefits
- PNB Saksham: Minimum Rs. 25,000/- and thereafter in multiple of Re.1/- subject to maximum of Rs.10 Crore. Senior citizens earn 0.50 % interest extra. Depositors can avail regular monthly pay out consisting of interest plus part of principal. Read more about PNB Saksham Deposit Scheme
Key features of PNB Fixed Deposits
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.
FAQs on Punjab National Bank (PNB) FD
- What is the minimum / maximum amount required to open a fixed deposit account at PNB?
Term Deposits like Balika Shiksha can be opened with a nil balance. Usually the upper limit is Rs.10 crore for most fixed deposits.
- What is the minimum / maximum deposit period for FD accounts at PNB?
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.
- How can a fixed deposit account be opened at PNB (Online or Offline)?
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.
- What are the minimum / maximum returns on PNBs FD?
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.
- Does Punjab National Bank offer Tax Saver Fixed Deposit schemes?
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.
- Are fixed deposit holdings taxable?
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.
- Do senior citizens get better rates on fixed deposits at PNB?
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.
- Can NRIs open a fixed deposit account with Punjab National Bank?
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.
- Can I withdraw my fixed deposit amount before its maturity?
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.
- Are loans provided against FDs held with Punjab National Bank?
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.