Punjab and Sind FD interest rates range between 3.00% to 6.80% per annum for the general citizens and 3.00% to 7. 30% per annum for the senior citizens, depending on the tenure, customer category, and deposit type. Punjab and Sind Bank offers tenures ranging from 7 days to 10 years.
Punjab and Sind Bank fixed deposit is available with a minimum amount of ₹1,000 for regular FDs. FD can be held singly, jointly, or operated through a power of attorney, and senior citizens receive additional interest on eligible tenures. The bank also offers a special scheme called PSB Green Earth Deposit, available for fixed tenures of 22, 44, and 66 months with interest rates of 7.00%, 6.75%, and 6.45%, respectively. The minimum amount for PSB Green Earth Deposit is ₹10,000, and premature withdrawal is allowed as per guidelines. This article outlines current FD interest rates offered by Punjab and Sind Bank 2026 and key features of the FDs.
Information About
Fixed Deposits, Guaranteed Return Plans & Debt Mutual Fund
Guaranteed Return Plans, Fixed Deposits & Debt Mutual Fund
Guaranteed Return Plans
Returns Before Tax
6.9%* (TAX-FREE)
Returns After Tax
6.9%*
Guaranteed Returns
Yes
Life Cover
Yes
Tax on Profit
Tax Free*
Risk
No Risk
Fixed Deposits
Returns Before Tax
7% (TAXABLE)
Returns After Tax
4.8%
Guaranteed Returns
Yes
Life Cover
No
Tax on Profit
Taxable
Risk
Low Risk
Debt Mutual Fund
Returns Before Tax
8% (TAXABLE)
Returns After Tax
5.5%
Guaranteed Returns
No
Life Cover
No
Tax on Profit
Taxable
Risk
High Risk
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*For annual premium upto ₹5 Lacs
Punjab and Sind Bank Fixed Deposit Key Highlights
Particulars
Description
Tenure
7 days to 10 years
Interest Rates
3.00% to 7.30% for general and senior citizens
Minimum Deposit Amount
Rs. 1,00,000
Maximum Deposit Amount
Rs. 2.99 crores
Loan Facility
Up to 90% of the loan amount
Nomination Facility
Available
Senior Citizens Benefits
An Addtional 0.5% than regular citizens
Auto-Renewal
Yes available
Best FD Scheme
PSB Dhan Lakshmi - 444 days
Types of Punjab and Sind Bank Fixed Deposit Scheme
Below are the best PSB Fixed Deposit Schemes for general and senior citizens with their benefits and features. Make sure to check while availing the schemes -
PSB Dhan Lakshmi-444 days
The PSB Dhan Lakshmi-444 Days is a special fixed deposit scheme of Punjab & Sind Bank with a specific, attractive interest rate for a tenure of 444 days. It is structured to give it better returns than the standard FDs offered by the bank over an equivalent term.
Tenure: 444 days
Senior Citizens Benefits: An Additional 0.50% over the regular employees
Super Senior Benefits: An Additional 0.15% on the senior citizen interest rates
Auto Renewal Facility: Yes, available
PSB Fixed Deposit Tax-Saver Scheme
Under this category, the investments are eligible for a tax deduction of up to Rs 1.5 lakhs under Section 80C. This scheme is available under the best tax-saving schemes category offered by Punjab and Sind Bank.
Lock-in Period: 5 years
Tax Benefits: Available under Section 80C
Minimum Deposit Amount: Rs. 100
Nomination Facility: Yes, available
PSB Fixed Deposit Scheme
The fixed deposit interest rates start from 3.00% to 6.80% per annum for the general citizens and 3.00% to 7.30% per annum for the senior citizens, with an additional 0.5% for its senior citizens.
Tenure: 7 days to 10 years
Premature Withdrawal: Yes, Available
Autorenewal Facility: With restrictions up to the maturity value of 2 crores
Nomination Facility: Yes, available
PSB Capital Gain Deposit Scheme
The PSB Capital Gain Deposit Scheme is a special scheme provided by Punjab & Sind Bank to assist taxpayers in saving on capital gains tax. This plan is under the Capital Gains Account Scheme (CGAS), 1988, under the Income Tax Act.
Types of Deposits: Savings Deposit and Term Deposits
Nomination Facility: Yes, available
Additional Senior Citizens Benefits: Not Available under this scheme
Closure of Account: After the approval of the jurisdictional Income Tax Officer
PSB Green Earth Scheme:
PSB Green Earth is a special fixed deposit scheme whereby your money is invested in green, sustainable projects only. It has fixed tenures and competitive interest rates, enabling you to contribute to environmentally friendly projects and save.
Key Benefits of Punjab and Sind Bank Fixed Deposits
Here are some of the major benefits of Punjab and Sind Bank Fixed Deposits.
Flexible Tenure: You can choose to invest for a duration that suits your financial goals, from as short as 7 days to as long as 10 years, offering flexibility for both short-term and long-term savers.
Higher Rates for Senior Citizens: Senior citizens enjoy an additional 0.50% interest on fixed deposits with maturities of 180 days and above, helping them earn better returns on their savings.
Variety of FD Options: Punjab and Sind Bank offers different types of FDs, including Regular Fixed Deposits, PSB Green Earth Schemes, and Tax Saving FDs under Section 80C for individuals looking to reduce taxable income.
Premature Withdrawal: Most FDs can be closed before maturity if needed. However, a penalty of 1.00% is applied on the applicable interest rate for the period the deposit remained with the bank. Premature withdrawal is not allowed for Tax Saving FDs, except in the event of the depositor’s death.
Loan Facility: You can avail of a loan or overdraft facility of up to 90% of the FD amount, ensuring liquidity without breaking your deposit. The applicable interest rate is usually 1% to 2% higher than the FD interest rate and depends on the bank's prevailing policy at the time of availing the loan. This facility is available for both general and senior citizen depositors.
Sweep-In / Sweep-Out Facility: The PSB Flexi Savings Deposit Product offers an auto sweep-in and sweep-out facility. For example, a customer can enable this feature with a defined balance of ₹50,000. Any amount exceeding ₹50,000 in the savings account is automatically transferred in multiples of ₹5,000 into a fixed deposit for periods ranging from 46 to 180 days.
Punjab and Sind Bank FD Interest Rates
Investors can select Punjab and Sind Bank FDs from a wide range of maturities and competitive interest rates.
Tenure
Regular Rates
Current Rates
Senior Citizen
7 Days to 14 Days
2.85%
2.85%
15 Days to 1 Month
2.85%
2.85%
1 Month to 2 Months
2.85%
2.85%
2 Months to 3 Months
3.35%
3.35%
3 Months to 4 Months
3.35%
3.35%
4 Months to 5 Months
3.35%
3.35%
5 Months to 6 Months
4.85%
4.85%
6 Months to 12 Months
4.85%
5.35%
1 Year
5.85%
6.35%
1 Year to 1 Year
5.60%
6.10%
1 Year
6.50%
7.00%
1 Year to 1.2 Years
5.60%
6.10%
1.2 Years
6.60%
7.10%
1.2 Years to 1.8 Years
5.85%
6.35%
1.8 Years to 2 Years
5.95%
6.45%
2 Years to 2.1 Years
5.85%
6.35%
2.1 Years
6.00%
6.50%
2.1 Years to 2.7 Years
5.85%
6.35%
2.7 Years
6.00%
6.50%
2.7 Years to 3 Years
5.95%
6.45%
3 Years to 3.7 Years
5.85%
6.35%
3.7 Years to 4.1 Years
5.95%
6.45%
4.1 Years to 5 Years
5.85%
6.35%
5 Years
5.95%
6.45%
5 Years to 5.4 Years
5.85%
6.35%
5.4 Years to 10 Years
5.85%
6.35%
Period
3 Cr to 5 Cr
Above 5 Cr. to 10 Cr.
7 – 14 Days
4.00%
4.00%
15 – 30 Days
4.00%
4.00%
31 – 45 Days
4.50%
4.50%
46 – 60 Days
4.50%
4.50%
61 – 90 Days
5.00%
5.00%
91 – 180 Days
5.55%
6.45%
181 – 270 Days
5.75%
5.75%
271 – 364 Days
6.05%
6.05%
1 Year to 2 Years
6.65%
6.80%
Above 2 Years to 3 Years
6.00%
6.00%
Above 3 Years to 5 Years
5.50%
5.50%
Above 5 Years to 10 Years
5.00%
5.00%
*Punjab and Sind Bank FD interest rates w.e.f. January 16, 2026
How to Open a Punjab and Sind Bank FD
Opening a Fixed Deposit (FD) with Punjab and Sind Bank is simple, whether you’re an existing account holder or a new customer. You can choose from online or offline methods, based on your convenience.
Online Method
Customers who wish to avail the online facility and go through these steps, and open their FD with PSB Bank:
Internet Banking or UNic Mobile App: Log in using your credentials
Go to Fixed Deposit: Navigate to the Fixed Deposit section
Select ‘Open Fixed Deposit’: Click on ‘Open Fixed Deposit’
Enter Amount and Tenure: Enter the deposit amount and select the tenure
Select FD Type: Choose the type of FD and your interest payout frequency.
Enter Nominee Details: Provide nominee details
Submission: Confirm your details and submit the request
Confirmation: You’ll receive a digital confirmation and an FD receipt
Offline Method
Customers who wish to avail this facility by using the old method of visiting the branch and going through these steps-
Visit Branch: Visit your nearest Punjab and Sind Bank branch
Documents: For a new customer, carry the original and photocopies of the documents
Fill the FD Form: Fill with your desired amount, tenure, and FD type
Submit - Submit with a passport-size photo and your ID/address proof
Make Payment: Deposit the amount through PSB savings or current account
Collect the FD Receipt - Collect the printed receipt, including the details
Documents Required for Punjab and Sind Bank FD
If you're opening an FD account as a new customer, you need to submit the following:
Proof of Identity (any one): Aadhaar Card, Voter ID, Passport, PAN Card, Driving Licence, NREGA Job Card
Proof of Address: Aadhaar, Passport, recent utility bill, or bank statement
Photograph: One passport-size photo (offline mode)
PAN Card or Form 60: Mandatory for tax deduction purposes
Profession Proof: For HUFs, firms, or business accounts
Taxation on Punjab and Sind Bank FD Interest
Interest earned on Fixed Deposits with Punjab and Sind Bank is taxable under the head “Income from Other Sources” according to your income tax slab. As per Section 194A of the Income Tax Act, the bank deducts Tax Deducted at Source (TDS) at the rate of 10% if the total interest earned in a financial year exceeds ₹50,000 for regular individuals and ₹1,00,000 for senior citizens.
If you do not provide your PAN card, the TDS is deducted at a higher rate of 20%. To avoid TDS deduction, individuals whose total income is below the taxable limit can submit Form 15G or 15H (for non-senior and senior citizens, respectively).
Key Takeaways
Punjab and Sind Bank Fixed Deposits offer interest rates across various tenures, starting from 3.00% to 6.80% per annum for the general citizens and 3.00% to 7.30% per annum for the senior citizens, helping individuals align savings with their financial goals. PNB FD can be opened online via Internet Banking or the PSB UNiC app, as well as offline at any branch. To know which bank currently offers the most attractive fixed deposit returns, check out the highest FD rates available in India.
Punjab and Sind Bank offers multiple fixed deposit options such as Regular Fixed Deposits, PSB Green Earth Schemes, PSB Dhan Lakshmi - 444 days, and Tax Saving FDs. Each comes with different tenures, interest rates, and benefits.
What is the penalty for premature FD in Punjab and Sind Bank?
A penalty of 1.00% is charged on the applicable interest rate if the fixed deposit is withdrawn before its maturity. The final interest is calculated based on the rate applicable for the actual tenure of the deposit.
What is the latest fixed deposit interest rate offered by PSB Bank?
Punjab and Sind FD interest rates range between 3.00% to 6.80% per annum for the general citizens and 3.00% to 7.30% per annum for the senior citizens.
What is the PSB Dhan Lakshmi 444-day scheme?
The PSB Dhan Lakshmi-444 Days is a special fixed deposit scheme of Punjab & Sind Bank with a specific, attractive interest rate for a tenure of 444 days.
Can a tax-saving FD be broken before maturity in Punjab and Sind Bank?
No, Tax Saving Fixed Deposits in Punjab and Sind Bank come with a mandatory 5-year lock-in period and cannot be withdrawn before maturity. An exception is made only in the case of the depositor’s death, where the nominee or legal heir may close the FD prematurely.
Can I open a joint FD account with Punjab and Sind Bank?
Yes, Punjab and Sind Bank allows you to open a joint fixed deposit account with up to three applicants. Joint account holders can also nominate a beneficiary for the FD.
Explore More Under Punjab and Sind Bank Fixed Deposits
˜The insurers/plans mentioned are arranged in order of highest to lowest first year premium (sum of individual single premium and individual non-single premium) offered by Policybazaar’s insurer partners offering life insurance investment plans on our platform, as per ‘first year premium of life insurers as at 31.03.2025 report’ published by IRDAI. Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by any insurer. For complete list of insurers in India refer to the IRDAI website www.irdai.gov.in * The Guaranteed Returns are dependent on the policy term and premium term availed, along with the other variable factors. The 6.9% rate of return is for an 18-year-old, healthy male for a policy term of 20 years and premium term of 10 years with a Rs . 20,000 monthly instalment premium. The tax benefits under Section 80C allow a deduction of up to ₹1.5 lakhs from the taxable income per year, and 10(10D) tax benefits are for investments made up to ₹2.5 Lakhs/ year for policies bought after 1 Feb 2021. Tax benefits and savings are subject to changes in tax laws.
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Interest Earned
Maturity Amount
