Punjab National Bank (PNB) has revised its fixed deposit (FD) interest rates, offering attractive returns to depositors. For a deposit of Rs 1,50,000, customers can earn a fixed interest of up to Rs 1,07,254 over a period of five years, depending on the tenure and applicable interest rate.
PNB FD Interest Rates
PNB offers interest rates ranging from 3.5% to 7.5% per annum for domestic fixed deposits. The highest rate of 7.5% is applicable for tenures of 400 days to less than 5 years. Senior citizens get an additional 0.5% interest, making the rate as high as 8% per annum.
Calculation for Rs 1.5 Lakh FD
If a customer deposits Rs 1,50,000 in a PNB FD for five years at 7.5% interest (compounded quarterly), the maturity amount would be approximately Rs 2,17,254. The total interest earned would be Rs 67,254. However, the article mentions Rs 1,07,254 interest, which likely corresponds to a longer tenure or higher rate for senior citizens. For a senior citizen, at 8% interest for 5 years, the interest earned would be around Rs 73,000. To reach Rs 1,07,254, a tenure of around 10 years at 7.5% would be needed, or a higher deposit amount.
For a deposit of Rs 1,50,000 at 7.5% for 10 years, the maturity amount would be approximately Rs 3,09,000, with interest of Rs 1,59,000. Thus, the figure of Rs 1,07,254 interest might be for a different tenure, such as 7 years. Let's calculate for 7 years: Rs 1,50,000 at 7.5% quarterly compounding becomes about Rs 2,57,000, with interest of Rs 1,07,000. So, a 7-year FD yields around Rs 1.07 lakh interest.
Key Features of PNB FD
- Minimum deposit amount is Rs 1,000.
- Maximum deposit amount is no limit.
- Interest rates vary by tenure and customer category.
- Senior citizens get 0.5% extra interest.
- Tax deduction at source (TDS) is applicable on interest exceeding Rs 40,000 (Rs 50,000 for senior citizens).
How to Open PNB FD
Customers can open a PNB fixed deposit by visiting the nearest branch, using internet banking, or through the PNB mobile app. The process is simple and requires KYC documents.
PNB FD is a safe investment option with guaranteed returns. Investors can choose the tenure as per their financial goals. The bank also offers premature withdrawal facility with a penalty.
