PNB FD Interest Rates: Interest Rates, Types, Features, And Schemes

Punjab National Bank’s fixed deposits keep drawing attention in 2025 because they still feel like a steady anchor in a noisy financial world. A simple FD can work a bit like storing rainwater in a clean tank. You pour in your savings and, over time, you know exactly how much you will draw out.

What would you choose? A plan that promises steady growth or something with a bit more flexibility? Questions like these make it easier to see which FD option truly fits your goals.

Some people focus only on the stated interest rate. Others look at safety, tenure choices, or special schemes for seniors. Which part matters most to you? Every feature tells a small story about how the bank intends to support different kinds of savers.

If you are weighing your choices for 2025, this is a good time to pause and explore how PNB structures its rates and schemes. You might spot an approach that lines up with your own plans.

Continue reading to learn about the current interest rates, the available FD types, their features, and the schemes you can use.

Key Highlights of the 2025 Rates

When you’re looking at fixed deposits (FDs) with PNB, a few things stand out this year. Let’s walk through the key take-aways:

• For the general public, domestic term deposit rates (below Rs. 3 crore) start at 3.00% p.a. for very short tenures (7-14 days).
• The highest public rate listed is 6.60% p.a. for the 390-day tenure.
• For senior citizens, the 390-day rate is 7.10% p.a.
• Tenure range is broad: from 7 days up to 10 years for domestic term deposits.
• Special scheme: The “Tax-Saver FD” (lock-in for 5 years) offers 6.25% p.a. for the general public, 6.75% p.a. for senior citizens.
• Premature withdrawal does carry penalties / lower interest (common banking practice; not always detailed in headline tables).
• For NRI/NRO/NRE term deposits (< Rs. 3 crore), the rates are largely the same as domestic deposits for many tenures.
   

Latest PNB FD Interest Rates 2025

Here’s a table summarising the latest FD interest rates at PNB for domestic/NRO term deposits of less than Rs. 3 crore (for general public, senior citizens, and super senior where applicable). The rates are effective from around 1 September 2025.

# “Super Senior Citizens” generally refers to age 80+ in the bank’s scheme (where applicable) and is not always separately published in the bank’s primary table.

* The NRI column reflects NRE/NRO term deposit rates for less than Rs.  3 crore as provided by PNB.

All interest rates mentioned above are based on the latest information available from the official Punjab National Bank website on the date of review. Rates for fixed deposits may be changed, withdrawn, or revised by the bank at any time without prior notice.
 

Types of Fixed Deposits Offered by PNB

PNB offers a wide range of fixed deposit options. Each one serves a slightly different purpose, which makes it easier for customers to match their savings to their goals. Here’s a quick overview before we dive deeper:

• Regular Fixed Deposit Scheme
  

  This is the classic FD most people start with. You pick the tenure that suits your plan, lock in the money, and earn a fixed interest rate until maturity. It’s simple, steady, and works well for short or long-term goals.
  

• PNB Sugam Term Deposit
  

  Sugam is designed for people who want liquidity without sacrificing returns. You can withdraw part of the deposit whenever you need funds, and the rest of the FD continues as usual. It suits anyone who wants the comfort of access along with steady growth.
  

• PNB Anupam Term Deposit
  

  Anupam offers a slightly refined structure for savers who want a mix of flexibility and competitive rates. You can choose how you want your interest, either at maturity or at regular intervals. It’s often picked by those planning for medium-term financial goals.
  

• PNB Multi-Benefit Term Deposit (MBTD)
  

  This deposit is meant for people who rely on interest payouts to cover ongoing expenses. You earn interest every month or every quarter, which helps create a predictable income stream. Retirees and freelancers often find this helpful.
  

• PNB Varishta Fixed Deposit Scheme (for seniors)
  

  Senior citizens get a higher interest rate here, which helps their savings grow a little faster. The scheme gives them reliable returns with safe capital protection. Many use it to build a cushion for healthcare and household needs.
  

• PNB Tax Saver FD (5-year lock-in)
  

  This option works for anyone aiming to save tax under Section 80C. The deposit stays locked for five years, so it’s great for long-term planners who don’t need immediate liquidity. It blends disciplined saving with a decent rate of return.
  

• PNB Floating Rate FD
  

  Here, your interest rate moves in line with the bank’s benchmark. If the bank’s linked rate rises, your FD return also rises. It’s useful for investors comfortable with rate changes and who want the chance to benefit from upward interest cycles.
  

• PNB Recurring Deposit (RD)
  

  A recurring deposit suits people who like to save bit by bit. You put in a fixed amount every month, and it grows into a lump sum by the end of the tenure. It’s a good way to build discipline and reach planned goals like travel, gadgets, or emergency buffers.
  

Key Features & Benefits of PNB Fixed Deposits

PNB’s fixed deposits come across as dependable and easy to understand, which is why many savers still prefer them over market-linked choices:

• Wide Spread of Tenures
  

  The bank offers different tenures, starting from a week and going all the way up to ten years. This lets you match the deposit to a specific goal instead of locking money away without purpose.
  

• Interest Payout Options are Flexible
  

  You can choose monthly, quarterly, half-yearly, or let it compound until maturity. And if you’re an NRI, the bank extends NRE and NRO deposits with full repatriation on eligible accounts, which helps you manage earnings back home without much fuss.
  

• Safety Factor
  

  As a major public-sector bank, PNB provides a sense of stability. The deposits are also covered under the RBI-regulated DICGC insurance limit. So even small investors feel comfortable placing money here.
  

• Senior Citizens get an Interest Rate Boost
  

  This makes the FD more rewarding during retirement years. And for long-term tax planning, the Tax Saver FD works well for anyone looking to claim deductions under Section 80C. At SMC Insurance, we often see customers use these FDs to balance risk in their broader portfolio while keeping some part of their wealth completely predictable.
  

Eligibility Criteria

PNB keeps the eligibility framework fairly simple. The fixed deposits are open to:

• Resident individuals
• Hindu Undivided Families
• Senior citizens
• Minors (opened through a guardian)
• Sole proprietorships, partnership firms, companies, and trusts
• NRIs and OCIs for NRE/NRO deposits

Different schemes may have small variations, especially those designed for senior citizens or NRIs, but most people fall neatly into one of these categories.

Documents Required

The documents depend a little on the type of depositor, but the core requirements stay the same. Banks usually ask for:

• For Individuals
  • Identity proof (PAN, Aadhaar, Passport, Voter ID, or Driving Licence)
  • Address proof (Aadhaar, Utility Bill, Passport, Ration Card, or Bank Statement)
  • Recent passport-size photograph
  • PAN is important for tax-related reporting, so it’s better to keep it ready
• For NRIs
  • Passport
  • Valid visa or OCI/PIO card
  • Overseas address proof
  • Foreign remittance details or documents proving source of funds
• For Businesses or Trusts
  • Registration documents
  • Partnership deed or board resolution
  • KYC documents of authorised signatories

Once these are in place, opening an FD (whether online or at a branch) is generally smooth.
 

PNB FD Calculator (How It Works)

A fixed deposit calculator is one of those tools that quietly makes life easier. PNB’s FD calculator lets you check how much your investment can grow over a chosen tenure, and it does this in seconds. You only feed in three values: the deposit amount, the interest rate, and the tenure. The calculator then shows the maturity value and the interest you’ll earn.

What’s helpful is that it removes any guesswork. You can try different combinations to see what suits your financial goal. And if you’re planning something longer term (say a Tax Saver FD or a five-year goal), it gives you a clear picture of what you’ll walk away with at maturity.
 

Premature Withdrawal Rules & Penalty Structure

PNB does allow premature withdrawal, but it comes with a few conditions. When you break an FD before its maturity, the bank recalculates the interest based on how long the deposit actually stayed in. And yes, there’s usually a penalty, which reduces the final payout a bit.

The bank publishes slab-based penalties, and these can vary depending on the tenure and the type of FD. Some special schemes may not allow early closure at all, especially those tied to tax benefits. Because of this, it’s always better to check the rules for your specific FD before deciding to withdraw early. Many customers keep a mix of long-term and short-term FDs to avoid dipping into the bigger ones unless absolutely necessary.

Loan Against PNB FD

One of the practical benefits of holding an FD with PNB is that you can borrow against it without breaking the deposit. The bank lets you take a loan or overdraft of up to a certain percentage of the FD value. This comes in handy when you need short-term liquidity but don’t want to lose interest earnings.

The interest rate on such loans is usually a bit higher than the FD rate, but still more affordable than many unsecured loan options. And since your FD stays intact, it continues to earn interest as usual. People often use this for emergencies or quick cash requirements where they don’t want to disturb long-term savings. It’s a simple way to keep your financial plan steady while still having access to funds when you need them.
 

Taxation Rules for PNB Fixed Deposits

Tax rules around fixed deposits often feel complicated, but once you break them down, they’re quite manageable. And understanding them helps you plan smarter because the interest you earn doesn’t come tax-free by default. Whether you're opening a short-term FD or parking funds for several years, it’s good to know what gets taxed, when it gets taxed, and how you can optimize these decisions.

➔ TDS Rules

PNB, like every bank, deducts TDS on FD interest when it crosses the yearly threshold set under the Income Tax Act.

Here’s how it works:

• If your total interest across all PNB deposits goes above the prescribed limit in a financial year, TDS is deducted automatically.
• If you’re a senior citizen, your limit might be higher, which gives you more breathing room before TDS kicks in.
• You can submit Form 15G or Form 15H if your total income isn’t taxable. This helps you avoid TDS right at the source instead of waiting for a refund later.

Keep in mind: TDS is deducted at the bank level, not at the branch level. So even if your deposits are spread out, the bank counts everything together.

➔ Income Tax Rules

TDS is only the first step. After that, you still need to report the actual interest earned in your tax return.

• Interest from a PNB FD is treated as Income from Other Sources and taxed based on your slab.
• If your slab rate is higher than the TDS rate, you’ll have to pay the difference as self-assessment tax.
• If your slab rate is lower, you can claim a refund.
• Income from FD interest is taxable in the year in which it is credited or becomes due to you.

The idea is simple: TDS handles part of your tax liability, but the final calculation happens in your return.

➔ PNB Tax Saver FD Rules

PNB also offers a Tax Saver FD that works under Section 80C. And it’s quite useful when you’re planning long-term commitments, whether it's insurance, retirement, or any structured saving plan.

• You can invest up to Rs. 1.5 lakh in a financial year and claim a tax deduction under Section 80C.
• The deposit has a 5-year lock-in, so you can’t break it before maturity.
• The principal qualifies for deduction, but the interest is still taxable.
• Joint accounts are allowed, but only the first holder can claim the deduction, subject to bank’s discretion/conditions.
• NRIs can open tax-saving deposits as well, but the tax benefit applies only if they fall under the domestic tax structure.

The tax-saving FD works best when you want guaranteed returns while also closing any gaps in your Section 80C limit.
 

How to Open a PNB FD in 2025 (Step-by-Step)

Opening an FD with PNB is quite simple. You can do it from home or walk into a branch if you prefer face-to-face help. The steps are straightforward, and the bank keeps the process light.

➔ Online Method

• Visit PNB’s net banking or mobile banking portal and log in.
• Look for the Deposit section and choose Open Fixed Deposit.
• Pick your FD type, tenure, and payout option.
• Enter the amount you want to deposit.
• Review the summary and confirm the request.
• Once done, the FD receipt appears in your account dashboard.

This route works well if you already use digital banking and want an FD created in minutes.

➔ Offline Method

• Walk into any PNB branch.
• Ask for the FD application form and fill in the deposit details.
• Submit your KYC documents, a passport-size photo, and the deposit amount.
• The branch staff will set up the FD and hand you the physical FD acknowledgment.

Many customers still prefer this method, especially seniors who like personal assistance.
 

Comparison: PNB FD Rates vs Other Banks (2025)

When you compare PNB’s 2025 FD rates with the rest of the market, you notice a steady middle path. The bank does not chase the highest rates, but it stays comfortably above the lower-end slabs offered by several private banks.

Public-sector banks like SBI and Bank of Baroda offer similar ranges, though PNB tends to be slightly better in the one-year to two-year bracket. A few small finance banks may offer higher interest, but those often come with stricter conditions and a different risk view from customers.

For someone who wants the stability of a large public-sector bank without giving up too much on returns, PNB sits in a balanced position. And if you’re a senior citizen, the additional interest makes the offering even more practical.
 

Who Should Choose PNB FD?

A PNB FD works for many kinds of savers. If you want reliability and a guaranteed return, this is a strong pick. People who put safety above market swings often choose FDs as the foundation of their financial plan. And it helps when the bank behind it has decades of trust built into its name.

Short-term FDs suit those saving for near-future needs like school fees, travel, or a planned purchase. Medium-term options work for families building a steady fund they don’t want to risk in equity markets. Seniors benefit because the higher interest gives them a comfortable cushion without complexity. Even NRIs can find value here through NRE and NRO deposits, especially if they want repatriable, tax-free earnings from their foreign income.

At SMC Insurance, we often see customers combine FDs with insurance and long-term protection products. This gives them both stability and a safety net, and creates a financial layout that feels secure in the long run.
 

Summing Up,

Choosing a fixed deposit is often about finding a balance between safety and steady growth, and PNB manages to deliver both without making things complicated. The bank’s wide list of schemes gives you room to match your savings habits with the kind of return you want. Short-term savers get flexibility, long-term investors get stability and senior citizens receive a rate that genuinely helps. And if you’re planning your finances with a mix of insurance and fixed-income tools, an FD from a trusted public sector bank works like a quiet anchor in your portfolio.