Maximize Returns with PNB Fixed Deposits in 2023

Puja Punjab National Bank (PNB), widely acknowledged as India's premier Swadeshi Bank, operates an extensive banking network with 10,925 branches and 13,914 ATMs nationwide, along with its presence in six other countries. PNB provides a broad spectrum of fixed deposit schemes, with interest rates ranging from 3.00% p.a. to 5.25% p.a., allowing funds to be securely locked over a predetermined period without the possibility of additional deposits or early withdrawals. The interest rates are contingent upon the selected term length.

Features and Benefits of PNB Fixed Deposits:

• Tenure Range: 7 months to 120 months (10 years)
• Peak Interest Rate: 6.30% p.a.
• Senior Citizen Incentive: Additional 0.50% interest over standard rates
• Minimum Deposit: Varies according to specific scheme
• Nomination Facility: Available
• Loan/Overdraft Facility: Provided by the bank
• Term Deposit Options: Includes specialized schemes such as Sugam Term, Multi-Benefit, Special, Ordinary, and Anupam Term Deposits

These schemes are designed to address diverse customer needs, providing tailored financial solutions.

Types of PNB FD Schemes:

PNB presents various interest rates for its term-based fixed deposit alternatives, targeting individual investment goals and financial necessities.

Comparing PNB with Other Banks' FD Rates:

To maximize returns on your investment, it is crucial to compare FD rates across different banks.

How to Invest in a PNB Fixed Deposit:

Opening a PNB FD account is feasible through multiple platforms, including Mobile App, Internet Banking, or offline.

1. Internet Banking: Log into the PNB NetBanking platform. Select ‘Open Fixed Deposits’. Provide the necessary details, nominee information, and maturity preferences. Request a representative for document submission aid. Post-verification, the FD certificate is dispatched to your address, with confirmation via SMS once the application and KYC documents are validated.
2. Mobile App - PNB Bank App: Download and sign in to the PNB Bank App. Choose the ‘Open FD’ option. Input deposit and nominee details, then proceed with verification assistance. A representative carries out full verification. Following verification, the FD is established, with confirmation sent through email and SMS.
3. Offline PNB FD Opening: Visit a PNB branch to submit the FD application along with the required documents and deposit. Upon successful application, an FD certificate is sent to your registered address, along with an SMS notification.

Eligibility to Open a PNB FD Account:

Eligible candidates for a PNB fixed deposit account include:

• Resident individuals
• Non-resident Indians (NRI)
• Hindu Undivided Families (HUFs)
• Sole proprietorships, partnership firms, limited companies
• Registered societies, trusts, and associations

Documents Required to Open a PNB FD:

• Identification Proof: Aadhaar, Voter ID, driver's license
• PAN Card
• Address Proof: KYC documents, utility bills
• Passport-Size Photos
• Bank Account Statements

Tax Implications on Punjab National Bank Fixed Deposit:

PNB offers a tax-saving FD enabling savings up to Rs. 1,50,000 p.a. under Section 80C of the Income Tax Act. However, regular FDs do not avail tax benefits under this section. Interest earned on PNB FDs is taxable according to applicable tax slabs, with a TDS of 10% for interest exceeding Rs. 40,000 annually (or Rs. 50,000 for senior citizens). If PAN details are not provided, a 20% TDS rate applies.

Loan Against Punjab National Bank FD:

PNB allows loans up to 90% of the FD amount, with interest rates ranging from 4% to 6.3%.

Premature Closure of Punjab National Bank Fixed Deposit:

Most PNB Fixed Deposits can be terminated before maturity, excluding tax-saving FDs, with a 1% interest rate penalty depending on bank terms.

In conclusion, PNB Fixed Deposits provide a secure and advantageous strategy to enhance financial savings. By fully understanding the features, benefits, and required procedures, investors can make informed decisions aligning with their financial objectives.