If you’re planning to invest in a fixed deposit this year, the PNB FD Interest Rate 2025 update is something you shouldn’t miss. Punjab National Bank, one of India’s leading public sector banks, has revised its fixed deposit (FD) interest rates for deposits below Rs 3 crore. These new rates are especially important for regular depositors, senior citizens, and super senior citizens looking for safe investment options with decent returns.
PNB FD Interest Rate 2025
| Feature | Details |
|---|---|
| Bank Name | Punjab National Bank (PNB) |
| Effective From | April 2025 |
| Deposit Limit | Below Rs 3 crore |
| Highest Interest Rate | 7.25% for 400-day FD (General public) |
| Senior Citizens Benefit | Additional 0.50% (up to 5 years), 0.80% (above 5 years) |
| Super Senior Citizens Benefit | Extra 0.80% across all tenure brackets |
| Short-Term FD | Starting from 3.50% for 7-45 days |
The PNB FD Interest Rate 2025 update offers exciting opportunities, especially for senior citizens and conservative investors looking for stable returns. With interest rates going up to 8.05%, now is a great time to lock in your money with Punjab National Bank. Just remember to plan your tenure smartly, take advantage of senior citizen bonuses, and submit your tax forms to avoid unnecessary deductions.
What Are PNB Fixed Deposits?
A Fixed Deposit (FD) is a financial instrument where you deposit a lump sum of money with a bank for a fixed tenure at a fixed interest rate. When the tenure ends, you receive your principal plus interest earned.
Punjab National Bank offers a range of FD tenures, from 7 days to 10 years, suitable for short-term as well as long-term savers. With the new rates applicable from April 2025, customers can now earn better returns depending on their chosen term.
see also: Invest ₹5 Lakh in FD and Get ₹15 Lakh
Latest PNB FD Interest Rates 2025 (Below Rs 3 Crore)
For General Public:
| Tenure | Interest Rate (p.a.) |
|---|---|
| 7 to 45 days | 3.50% |
| 46 to 90 days | 4.50% |
| 91 to 179 days | 5.50% |
| 180 to 270 days | 6.25% |
| 271 to 299 days | 6.50% |
| 300 days | 7.05% |
| 303 days | 7.00% |
| 1 year | 6.80% |
| 400 days | 7.25% |
| 5 to 10 years | 6.50% |
For Senior Citizens (60+):
- Additional +0.50% for FDs up to 5 years.
- Additional +0.80% for FDs above 5 years.
For Super Senior Citizens (80+):
- Flat +0.80% across all tenures.
For example, if a super senior citizen invests in a 400-day FD, the effective rate becomes 8.05%, one of the highest in the market right now.
Why This Change Matters
This revision comes at a time when inflation is eating into household savings, and investors are on the lookout for low-risk options. With RBI maintaining the repo rate at 6.50%, banks are adjusting deposit rates to stay competitive. PNB’s move is part of this broader trend.
These new rates are also a way to attract more customers, especially retirees and senior citizens, who depend on fixed income instruments.
How to Maximize Returns on Your PNB FD
1. Choose the Right Tenure
- If you’re looking for short-term safety, a 300-day or 400-day FD offers the best returns right now.
2. Senior Citizens: Don’t Miss the Bonus
- Always mention your age when booking an FD. You may qualify for extra interest automatically.
3. Use Monthly/Quarterly Interest Payouts
- If you need regular income, opt for interest payout options instead of reinvestment.
4. Ladder Your FDs
- Spread your investments across multiple FDs with different tenures. This gives you flexibility and liquidity.
5. Use Online PNB Net Banking
- Book your FD online via PNB Internet Banking for hassle-free transactions and paperless verification.
Tax Implications
The interest earned on fixed deposits is taxable as per your income tax slab. TDS (Tax Deducted at Source) will be applicable if interest exceeds Rs 40,000 in a year (Rs 50,000 for senior citizens).
How to Avoid TDS?
- Submit Form 15G (below 60 years) or Form 15H (60+ years) if your income is below the taxable limit.
Is PNB FD Safe?
Yes. PNB is a government-backed bank, and all FDs up to Rs 5 lakh per depositor per bank are insured under DICGC (Deposit Insurance and Credit Guarantee Corporation). So, your money is safe.
How to Open a PNB FD
Here’s a step-by-step guide:
Step 1: Decide the Amount and Tenure
Use PNB’s FD calculator to estimate your maturity value.
Step 2: Choose Type of FD
Options include regular FD, tax-saving FD, senior citizen FD, and NRE/NRO FD.
Step 3: Open Through
- PNB Net Banking or Mobile App
- Nearest PNB Branch
- PNB One App
Step 4: Submit KYC
Required documents: PAN card, Aadhaar card, passport-size photo, address proof.
Step 5: Receive FD Certificate
You’ll get a digital or physical receipt after booking.
see also: Don’t Have a Big Amount? Money Will Grow Even with a Small Amount
PNB FD Interest Rate 2025 FAQs
Q1. What is the highest PNB FD interest rate in 2025?
7.25% for a 400-day FD (general public), and up to 8.05% for super senior citizens.
Q2. Can I break my PNB FD before maturity?
Yes, but penalty charges may apply depending on the tenure and amount.
Q3. What is the minimum amount to open a PNB FD?
You can start with as low as Rs 1,000.
Q4. Are PNB FD rates better than SBI or HDFC?
Currently, PNB’s 7.25% for 400 days is competitive and among the highest among public sector banks.
Q5. Can NRIs invest in PNB FDs?
Yes, via NRE and NRO accounts. However, the interest rates and tax implications differ.
