Punjab National Bank Recurring Deposit

Overview of Punjab National Bank

Nationalised in 1969, Punjab National Bank has established its presence all across the world, serving more than 8.9 crore valued customers. The bank has 6076 branches in India, 5 branches in other countries and 6940 ATMs. Punjab National Bank has a large franchise value, strong fundamentals and great brand image. It provides several offers and products to meet the growing financial needs of its customers.

Recurring Deposits (RD) from Punjab National Bank

Punjab National Bank Recurring Deposits allow you to enjoy attractive rates of interest at the cost of investing smaller savings amount. PNB RD is a kind of deposit where you can deposit a certain amount every month over a fixed period.

Features and Benefits of PNB recurring deposit

Punjab National Bank offers several features and benefits to their customers with recurring deposits.

• Enjoy both individual Recurring Deposit account and joint Recurring Deposit account
• Individuals above age ten can open a PNB Recurring Deposit account by providing age proof
• Individuals below age ten can open an RD account if it is authorized
• Corporate firms, commercial organizations, proprietorship firms can have Recurring Deposit accounts with Punjab National Bank.
• All Hindu Undivided Families can enjoy the benefits of PNB Recurring Deposit accounts.
• Religious or charitable trusts, associations, clubs and societies can maintain Punjab National Bank RD accounts.
• Panchayats, municipalities, government and quasi government bodies can have RD accounts with PNB.

Interest rates offered by Punjab National Bank’s Recurring Deposit

The maturity period or the deposit period plays a crucial part in determining the interest rates. The rate of interest also depends on the amount in the account at that time. For deposit amount of INR 1 crore, the interest rate varies from 7.75 per cent to 8.25 percent. But for senior citizens, it varies from 8.25 percent to 8.75 per cent. For a deposit amount between INR 1 crore to INR 10 crore, the interest rates range from 7.75 percent to 8 percent.

Terms and Condition for Punjab National Bank’s Recurring Deposit

• The period of Recurring Deposit can vary from six months to ten years
• Customers may avail premature withdrawal of their recurring deposit
• TDS is not applicable
• Overdrafts and loans are allowed against deposits
• Overdue deposit interest depends on the prevalent bank policies
• The interest accumulated on your recurring deposit is exempted from income tax to a certain limit as indicated by the IT department

Process for opening a Recurring Deposit account with Punjab National

At Punjab National Bank, you require a recommendation letter from a respectable person approved by the bank. The Recurring Deposit account holder must provide two recent photographs, as directions given by Reserve Bank of India. Punjab National Bank also requires your Permanent Account Number (Pan) or General Index Register (GIR) Number to activate an RD account.

Penalty clause

In the event of premature cancellation of recurring deposits, 1 percent penalty will be charged as per bank norms. Penalty will also be applicable Recurring Deposit account is irregular or discontinued.