| Started On | 1894 |
| Head Quarters | New Delhi |
| CRISIL Rating | NA |
| CEO | S. S. Mallikarjuna Rao |
| Listed on exchange as | Punjab National Bank |
| ICRA Rating | NA |
| Tenure | Regular customers | Senior citizens |
|---|
For a PNB FD with tenure ranging from 7 days to 12 months, the interest rate offered is from 3.00% p.a. to 4.50% p.a. These deposits are known as short-term deposits as they have a tenure of less than 1 year.
Medium-term fixed deposits have tenures ranging from more than 1 year to less than 5 years. The interest offered by the bank on these deposits is around 5.50% - 5.75%
These deposits have a tenure ranging from 5 years to 10 years and offer an interest rate of 5.65%.
| Name | Tenure | Interest rate |
|---|
A Punjab National Bank FD account can be opened through different modes like Mobile App, Internet Banking, and offline.
1) Internet Banking
Follow the below-mentioned steps for opening a Punjab National Bank FD account via internet banking-
2) Mobile App - PNB Bank App
Follow the steps mentioned ahead to open an FD account via PNB Bank App-
3) Offline PNB FD Opening
For opening a PNB Bank FD account via offline mode, one has to visit the nearest PNB Bank branch. Fill out the PNB Bank FD application form and present all the necessary documents with the deposit amount. On successful processing of the application, an FD certificate will be dispatched by the PNB bank to the communication address. Also, one will receive an SMS confirmation on the registered mobile number.
Individuals or entities falling under any of the following criteria can apply for a fixed deposit scheme from PNB –
Documents that have to be submitted to open a Punjab National Bank Fixed deposit are –
An investment in Punjab National Bank Tax Saving FD entitles to tax saving up to Rs. 1,50,000 p.a. No other Punjab National Bank FDs entitle to tax saving under Section 80C of the Income Tax Act.
Also, note that the interest income from the Punjab National Bank Fixed Deposit is taxable according to the slab rates of income tax. Also, the interest income is subject to a TDS of 10% if the income from Punjab National Bank FD exceeds Rs. 40,000 p.a.
For senior citizens, the limit is Rs. 50,000 p.a. Also, if the investor fails to provide PAN Card details to the bank, the TDS rate will be 20%.
PNB provides loans against their Fixed Deposits. Investors can get up to 90% of the deposit amount as a loan against PNB Fixed Deposit. The rate of interest will be between 4% – 6.3%.
All Punjab National Bank Fixed Deposits can be withdrawn prematurely except for the tax-saving Fixed Deposit. Also, Punjab National Bank levies a 1% penalty on the interest for premature withdrawals. The penalty is subject to modification according to the terms and conditions of Punjab National Bank.
Is the interest earned on fixed deposits taxed?
Yes, the interest earned on the FD is taxable if the total interest income is more than Rs. 10000 in a financial year.
What is the highest rate offered on FD by Punjab National Bank?
One can earn a maximum interest of 7.25% on the PNB fixed deposit.
What is the current interest rate PNB is offering on its FDs?
Current PNB FD rates range between 3.50% p.a. – 7.25% p.a. Senior citizens can avail interest rates ranging from 4.30% p.a – 8.05% p.a.
Is it possible to deposit an additional amount into the fixed deposit account?
No, depositing additional money into the FD account is not allowed as the money is deposited only at the time of opening the account.