Punjab National Bank (PNB) has scrapped the interest rates of fixed deposits (FDs) from April 10 in a yet another disappointment for millions of depositors. This decision is taken immediately after the repo rate was reduced by the Reserve Bank of India (RBI), with numerous banks following suit to reduce their FD rates.
PNB’s present FD interest rates for the general public are now between 3.50% to 7.10%, while seniors can enjoy between 4.00% to 7.60% on deposits up to ₹3 crore. The new rates are for tenures from 7 days to 10 years and will negatively affect all long-term savers and retirees looking for predictable returns on FDs.
Revised Punjab National Bank FD Rates (Below ₹3 Crore)
Here’s a detailed breakdown of the new interest rates:
- 7 days to 45 days: 3.50% (General), 4.00% (Senior Citizens)
- 46 days to 90 days: 4.50% (General), 5.00% (Senior Citizens)
- 91 days to 179 days: 5.50% (General), 6.00% (Senior Citizens)
- 180 days to 270 days: 6.25% (General), 6.75% (Senior Citizens)
- 271 days to 299 days: 6.50% (General), 7.00% (Senior Citizens)
- 300 days to 1 year: 6.50% (General), 7.00% (Senior Citizens)
- 1 year: 6.80% (General), 7.30% (Senior Citizens)
- 390 days & 400 days: 7.10% (General), 7.60% (Senior Citizens)
- Above 2 years to 3 years: 6.75% (General), 7.25% (Senior Citizens)
- 5 years to 10 years: 6.00% (General), 6.80% (Senior Citizens)
Why This Decision Affects Savers
With inflation rising and bank returns shrinking, this rate cut makes it harder for conservative investors to grow their savings securely. Senior citizens, in particular, face a tough financial challenge, as FD interest is often their primary source of income.