PNB Housing Finance FD Rates: A Smart Way to Save and Grow Your Money

Fixed deposits (FDs) are one of the most popular and safe investment options in India. They offer a fixed and guaranteed return on your money for a specified period of time. You can choose the tenure, amount, and frequency of interest payout as per your convenience and financial goals.

If you are looking for a reliable and high-performing FD scheme, you should consider PNB Housing Finance FD. PNB Housing Finance is a leading housing finance company in India that offers various products and services such as home loans, loan against property, construction finance, lease rental discounting, and fixed deposits.

PNB Housing Finance FD has been rated AA/Stable by CRISIL and AA/Positive by CARE, which indicates a high level of safety and credibility. PNB Housing Finance FD also offers attractive and competitive interest rates that can help you grow your wealth over time.

In this article, we will discuss the features, benefits, and interest rates of PNB Housing Finance FD, and answer some frequently asked questions about it.

Features of PNB Housing Finance FD

  • Minimum deposit amount: You can start investing in PNB Housing Finance FD with as low as ₹10,000.
  • Flexible tenure: You can choose a tenure ranging from 12 months to 120 months as per your preference and liquidity needs.
  • Interest payout options: You can opt for either cumulative or non-cumulative FDs depending on your income requirement. In cumulative FDs, the interest is compounded annually and paid at maturity along with the principal. In non-cumulative FDs, the interest is paid monthly, quarterly, half-yearly, or annually as per your choice.
  • Higher interest rate for senior citizens: PNB Housing Finance offers an additional 0.30% interest rate for senior citizens (above 60 years) on deposits up to ₹1 crore.
  • Nomination facility: You can nominate a person to receive the deposit amount in case of your unfortunate demise.
  • Auto renewal/maturity option: You can opt for auto renewal of principal or principal and interest, or auto maturity of deposit by giving an explicit consent in the application form.
  • Dedicated service managers and widespread network: PNB Housing has over 100 branches across 35 cities in India, where you can avail the services of customer service managers who will help you with any queries or issues.
  • Doorstep service: PNB Housing also offers doorstep service for fixed deposit customers. You can request a representative to visit your premises and collect the application form and documents from you.
  • Premature withdrawal facility: You can withdraw your deposit before the maturity date after completing a lock-in period of three months. However, the interest rate applicable will be lower than the contracted rate as per the terms and conditions.
  • TDS deduction: No TDS is deducted on interest earned on fixed deposits up to ₹5,000 in a financial year. You can also submit Form 15G/15H to avoid TDS deduction if you meet the eligibility criteria.
  • Loan facility: You can avail a loan against your fixed deposit up to 75% of the principal amount. The interest rate charged on the loan will be 2% higher than the fixed deposit interest rate.

Benefits of PNB Housing Finance FD

  • Safety and security: PNB Housing Finance FD is backed by a strong parent company, Punjab National Bank, which is one of the largest public sector banks in India. PNB Housing Finance FD also has a high credit rating from CRISIL and CARE, which reflects its ability to repay the depositors on time and in full.
  • Higher returns: PNB Housing Finance FD offers higher interest rates than most banks and other financial institutions. The interest rates vary from 7.00% to 7.85% per annum for general public and from 7.25% to 8.15% per annum for senior citizens depending on the tenure and payout option chosen. The longer the tenure, the higher the interest rate.
  • Liquidity: PNB Housing Finance FD provides liquidity to meet your emergency or short-term needs. You can withdraw your deposit after three months with a penalty charge as per the terms and conditions. You can also take a loan against your deposit at a reasonable interest rate.
  • Tax efficiency: PNB Housing Finance FD does not attract any TDS deduction if the interest earned is less than ₹5,000 in a financial year. You can also save tax by submitting Form 15G/15H if you are eligible. Moreover, you can claim deduction under Section 80C of the Income Tax Act for investing in PNB Housing Tax Saver Fixed Deposit Scheme, which has a lock-in period of five years.

Interest Rates of PNB Housing Finance FD

The following table shows the latest interest rates of PNB Housing Finance FD as of September 28, 2023:

Tenure (Months)Cumulative Option*ROI (p.a.)Non-Cumulative OptionROI (p.a.)
Monthly
Quarterly
Half Yearly
Annual
12 – 237.45%7.45%7.21%7.25%
7.32%7.45%
24 – 357.00%7.25%6.79%6.83%
6.89%7.00%
36 – 477.85%8.48%7.58%7.63%
7.70%7.85%
48 – 597.40%8.26%7.16%7.20%
7.26%7.40%
60 -717.65%8.91%7.39%7.44%
7.51%7.65%
72 – 847.40%8.91%7.16%7.20%
7.27%7.40%
1207.40%10.42%

*For cumulative option, interest rate is compounded annually on March 31st

The yield mentioned is calculated using the first month of each tenure grid.

The above rate of interest are subject to change at the sole discretion of PNB Housing.

Senior citizens (above 60 years) will be eligible for 0.30% additional rate of interest.

Senior citizen special rates applicable for deposits upto ₹1 crore.

Frequently Asked Questions (FAQs) about PNB Housing Finance FD

Q1: How can I open a PNB Housing Finance FD account?

A: You can open a PNB Housing Finance FD account by following these steps:

  • Visit the official website of PNB Housing Finance and click on the “Fixed Deposit” tab.
  • Fill in your contact details and the amount you want to deposit and click on “Contact Us for Deposits”.
  • A representative from PNB Housing Finance will get in touch with you and collect the application form and documents from your premises.
  • Alternatively, you can also visit any of the PNB Housing Finance branches and submit the duly filled application form along with valid KYC documents and deposit amount.

Q2: What are the documents required to open a PNB Housing Finance FD account?

A: The documents required to open a PNB Housing Finance FD account are:

  • Identity proof: PAN card, Aadhaar card, passport, driving license, voter ID card, etc.
  • Address proof: Aadhaar card, passport, driving license, voter ID card, utility bill, bank statement, etc.
  • Cheque or demand draft for the deposit amount
  • Form 15G/15H (if applicable)

Q3: Can I change the tenure or interest payout option of my PNB Housing Finance FD account?

A: No, you cannot change the tenure or interest payout option of your PNB Housing Finance FD account once it is booked. However, you can opt for premature withdrawal or renewal of your deposit as per the terms and conditions.

Q4: How can I check the status or balance of my PNB Housing Finance FD account?

A: You can check the status or balance of your PNB Housing Finance FD account by logging in to the customer portal on the official website of PNB Housing Finance using your customer ID and password. You can also visit any of the PNB Housing Finance branches or call the customer care number to get the details of your deposit.

Q5: How can I close my PNB Housing Finance FD account?

A: You can close your PNB Housing Finance FD account by following these steps:

  • Visit any of the PNB Housing Finance branches and submit a request for closure along with your original fixed deposit receipt and cancelled cheque.
  • The deposit amount along with the interest (if any) will be credited to

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