Punjab & Sind Bank Fixed Deposit Rate
Punjab & Sind Bank Fixed Deposit Rate - FD Rate in India
Investing in a Fixed Deposit account remains the most popular mode of investment for conservative investors across the nation today. A fixed deposit account is a traditional form of savings account which gives a higher rate of interest than a regular savings account.
A fixed deposit account is considered a safe and reliable form of investment option as it promises a guaranteed return and has negligible risks. If you have some idle money, opening an FD account is the simplest way to earn a decent amount in the way of interest.
While opening an FD, you can choose how much you want to deposit and for what time period you want to deposit the amount. Fixed deposits tenures typically range from seven days to ten years. The banks are free to set their own interest rates, which is generally influenced by factors like the deposit amount, and the tenure. In India, the interest rate generally ranges from 4% to 8% per annum.
Once the deposit matures, the bank credits the principal amount along with the interest earned to the bank account specified on the application form when the FD is opened. The documentation process is hassle-free and simple, making it easy even for a first-time investor.
Once you deposit an amount into an FD account, you cannot withdraw from it, unlike with a traditional savings account. if you face an emergency, you would be allowed to break the deposit before its maturity and you will be charged a nominal fee as penalty.
Apart from banks, NBFCs and corporates too offer fixed deposits.
Punjab & Sind Bank Deposit Rates
As mentioned before, the rate of interest paid on a fixed deposit varies according to the amount deposited, period and the issuing bank. The general rule of thumb is, the longer the term of deposit, the higher the rate of interest. But a bank may also offer a lower rate of interest for a longer tenure if the rates are expected to fall in the future. Punjab & Sind Bank Interest Rates typically range from 3% - 8% per annum.
Punjab & Sind Bank FD rates
Following is an overview of Punjab & Sind Bank Term Deposit Rates and Punjab & Sind Bank Short-Term Fixed Deposit Interest Rates.
Punjab & Sind Bank Interest Rates on Fixed Deposits 2015 – 2016:
(Do keep in mind that these rates can change at any time and can be changed at the sole discretion of the Bank. For the latest rates, it is advisable to check with Punjab & Sind Bank directly.)
Domestic Term Deposit Interest Rates for less than Rs. 1 Crore:
|Tenure||Rate of Interest (%)|
|7 - 14 Days||3.75|
|15 - 30 Days||4.25|
|31 - 45 Days||5.75|
|46 - 90 Days||6.25|
|91 - 150 Days||6.50|
|180 - 269 Days||7.10|
|270 – 364 Days||7.10|
|1 Year -2Year||7.30|
|Above 2 Years - < 3Years||7.30|
|3 Years – 5Years||7.25|
|>5 Years – 10 Years||7.25|
Annualized Rate of Interest on PSB Fixed Deposit Tax-Saver Scheme
|Maturity||Public||Sr. Citizen (Public)||Staff Members||Ex-Staff Members / Ex-Staff Members (Sr. Citizen)|
Punjab & Sind Bank FD Interest Rates for Senior Citizens
Punjab & Sind Bank offers special Senior Citizen FD Rates which are generally marginally higher than the rates as applicable on a regular FD and provide seniors with that extra buffer for their retirement years. As of now, the Punjab & Sind Bank Senior Citizen FD rate of interest is 0.50% higher for deposits of less than Rs 1.00 Crore for deposits of 180 days & above, for renewal as well as on fresh deposits.
How to Calculate Punjab & Sind Bank Fixed Deposit Interest
You can use online FD calculators to help compute the amount of interest you will earn on a certain principal amount. There are many online websites that have easy-to-use FD calculators that allow you to instantly calculate the interest you will earn.
Using an online FD calculator helps you identify the principal amount you want to deposit, thereby aiding in a very important financial decision. Using such FD calculators is very easy - you just need to enter the deposit amount, the rate of Interest, and the tenure; the calculator will do the mathematical computations and present you with a breakup of the amount earned at maturity.
Using an online resource helps in determining how much you want to save and invest and eliminates the hassles of manual calculation. You can also calculate the interest earned and the maturity value on the principal amount using the following formula.
Calculate Punjab & Sind Bank FD Rate
A = P x (1 + r/n)nt
I = A - P
A = Maturity Value
P = Principal Amount
r = Rate of Interest
t = Number of Years
n = Compounded Interest Frequency
I = Interest Earned
Punjab & Sind Bank FD Premature Withdrawal Penalty
‘Breaking’ an FD account is possible, and it comes in handy in times of crisis. While FDs come with the issue of liquidity, they are still among the more liquid investments when compared to real estate, for example. You will be charged a nominal penalty and allowed to withdraw partially or fully from your FD. The penalty is communicated to you at the time of applying for the FD.
Do keep in mind that certain kinds of deposits—such as the Tax Saving Scheme—come with a lock in period of 5 years, and you won’t be allowed to prematurely withdraw from it before the period is up. Be clear about the rules for withdrawal at the time of application for a deposit account.
Punjab & Sind Bank FD – FAQS
Who is eligible to apply for a fixed deposit account?
Any Resident Individual – individually, or jointly with two or more people are eligible to book an FD. Also eligible to open an FD account are Minors, Associations, Clubs, Societies, Partnership Firms, Trusts, etc.
I want to open an FD for a short duration. What is the minimum tenure?
The tenure ranges from 7 days to as long as 10 years. But if you would like to open an FD account for 7 days to 14 days, you would be required to deposit a minimum amount of Rs. 1 Lakh.
What is the benefit for Staff members and ex-staff members of Punjab & Sind Bank?
Staff and ex-staff members are eligible for 1% extra rate of interest over the prevailing rates as applicable for normal citizens.
What is the minimum amount I can invest in an FD account?
The minimum amount to be invested under the fixed deposit scheme is Rs. 100 or in multiples thereafter.