Punjab National Bank Fixed Deposit Rates in 2024

Certainly, Fixed Deposit (FD) accounts are a dependable choice for those aiming to secure their finances with assured returns. Among the leading banks, Punjab National Bank (PNB) is a prominent option, especially known for its capital guarantee. PNB, one of India’s top government-owned banks, caters to various retail customer needs through its various FD schemes.

PNB’s FD offerings are designed to accommodate a wide spectrum of depositors, with the minimum deposit amount set at INR 100, extending up to INR 10 crores. The interest rates for these FDs vary, starting from 3.5% and can go up to 7.25% for the highest investment slabs. This article aims to delve deep into the specifics of PNB’s FD schemes, including the interest rates and other pertinent details, to provide a comprehensive overview for potential investors. Let’s dive into the details of what PNB offers in fixed deposits.

PNB Fixed Deposit Scheme & Interest Rates 

Deposit your money in a fixed deposit account immediately and feel certain it will earn a competitive interest rate for the specified time frame. The PNB fixed deposit interest rates range from 3.50% to 6.5% for the general citizens. For senior citizens, the rates span from 4.00% p.a. and 7.3% p.a.; for super senior citizens, the interest rates stretch from 4.3% to 7.3% per annum.

Punjab National Bank Fixed Deposit scheme is one of the most vital investment products offered by PNB. In India, it is usually one of the most popular options for fixed deposits. You can choose from a variety of tenure choices provided by the bank. Furthermore, the interest rates on the deposits are fairly attractive.

However, the PNB Fixed Deposit scheme is not limited to Indian residents as NRIs can also avail themselves of the benefits of this scheme. As a Non-Resident Indian, you can put your money in the NRE or NRO FD schemes and earn interest on the deposited amount. The list of NRI FD products includes NRE and FCNR (B). 

The FCNR (B) fixed deposit is accepted in US Dollars, GBP – British Pound Sterling, Euro, Canadian Dollar, Japanese Yen, and Australian Dollar.

PNB FD Rates (p.a.) Highlights 2024

Punjab National Bank Domestic FD Interest Rates – Below Rs. 2 Crores

PNB Domestic Term Deposit FD Rates Between Rs.2 Crore and Rs.10 Crore

Note:- The PNB FD rates came into effect from 8th January 2024 onwards and may change at the bank’s discretion. 

PNB Fixed Deposit Interest Rates for Short-Term

Please note that the PNB FD, with a tenure of 7 days to 1 year (12 months), offers an interest rate from 3% to 4.5% per annum. These short-term deposits usually have a tenure of less than one year (12 months).

PNB Fixed Deposit Interest Rates for Medium Term

The FDs with a tenure of more than one year (12 months) to less than five years are considered medium-term fixed deposits. The banks offer an interest rate of 5.5% to 5.75% on these deposits.

PNB Fixed Deposit Interest Rates For Long-Term

There are certain fixed deposits that have a tenure which ranges from five years to ten years. The banks usually offer an interest rate of around 5.65% on these fixed deposits. 

PNB FD Rates for Senior Citizens

The senior citizens are entitled to an additional interest compared to the general interest rates. For short-term deposits, the rate ranges from 4.3% to 6.75%.

Punjab National Bank Tax Saving FD Rates

Note: The FD interest rates are effective from September 2023. 

PNB Uttam Term Deposit Rates

Note: The above mentioned FD interest rates are effective from 1 st January 2024. 

Types of PNB Fixed Deposit Schemes

There are several PNB Fixed Deposit schemes to cope with citizen’s versatile requirements: 

Punjab National Bank FD Special Features & Benefits

PNB customers can save tax up to Rs. 1,50,000 p.a. by investing in Punjab National Bank Tax Saving FD. Besides this, no Punjab National Bank FDs can be used to avail tax benefits under Section 80 C of the Income Tax Act. Please note that the interest income from this fixed deposit is taxable per the income tax slab rates. 10% TDS also levies this interest income if it exceeds Rs 40,000 p.a. If you are a senior citizen. Your limit is Rs 50,000 p.e. Furthermore, if the investor cannot give PAN Card details to the bank, the TDS rate would be 20%. 

Who Should Invest in Punjab National Bank Fixed Deposit Schemes?

You can avail certain benefits by investing in fixed deposits such as tax savings. For saving tax, rely on the PNB Tax Saver Fixed Deposit Scheme. When you deposit a specific amount in this scheme, it gets locked for at least five years. You can claim the invested amount for a tax deduction as per the IT Act, 1961, under Section 80C. At maximum, you can save INR 1.5 lakhs through fixed deposits. For fixed deposits falling in the range of INR 15 lakh to INR 10 crore, you should count on a noncallable PNB Uttam Scheme. Bank offers higher interest rates on this scheme. 

The PNB Balika Shiksha Fixed Deposit scheme is the foremost choice if you are looking for a unique scheme to help generate savings for your girl child’s education. You can deposit an amount as low as INR 3000. However, this scheme will be applicable if your girl child is pursuing 9th standard in a government school. The girl will be the beneficiary of the scheme and will be eligible to withdraw the amount when she is 18. Furthermore, investing in PNB FDs can be helpful when individuals want to save tax on capital gains generated from stocks, real estate, and much more. In such cases, you can stick to the Capital Gain FD scheme.

NRE Deposits: Advance Granted Against Rupee Term Deposit

Loans are provided against FD to the credit of borrowers and/ or third parties. This would be extended at any PNB branch. The margin for advance given against Rupee Term Deposit, including NRE deposits, is shown in this table:-

Advance Against Non-Resident Deposits (FCNR/NRO)

Closing your Punjab National Bank Fixed Deposit Account on Maturity

At the time of maturity, you can easily withdraw the amount through the online portal or by visiting the bank. Log in to the official portal through the provided credentials and select the option to close the fixed deposit account. After this, the entire amount accumulated in your FD account will be transferred to the chosen bank account. This amount will be reflected in the chosen account immediately. If you count on the offline procedure, visit the nearest bank branch and ask for closure.

Closing your Punjab National Bank Fixed Deposit Account Before Maturity

It is not advisable to withdraw the amount before maturity. The key reason is you don’t get the expected amount as your FD is not mature enough, and additionally, you will have to pay certain associated charges for the withdrawal. PNB generally charges 1% of the withdrawal amount on every premature and partial withdrawal. This applies to all FD schemes regardless of tenure. 

You will have to follow the depicted steps to close an FD with the Punjab National Bank before maturity. 

Through Online Portal

• Visit the official website of PNB and log in with your credentials. 
• Select the  ‘Manage accounts‘ option.
• Choose the ‘Open/Close accounts and click on the ‘Premature Closure of FD’ option from the drop-down.
• After this, the FD accounts will be displayed on your screen along with other required details, including the matured sum of the FD. 
• Finally, click on ‘Submit’.

Visiting PNB Branch

If not through the online portal, visit the nearest bank branch. Request the officials to close the FD account prematurely. Now, fill out and submit the form. Moreover, provide the details of the account to which you want to transfer this amount.

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