Punjab and Sind Bank Senior Citizen FD Rates 2026

What is a Punjab and Sind Bank Senior Citizen FD?

A Punjab & Sind Bank Senior Citizen FD is a fixed deposit scheme designed to offer higher FD interest rates compared to regular FDs. It offers a steady income option with flexible interest payout choices, including monthly, quarterly, semi-annual, or cumulative at maturity. Super senior citizens (aged 80 years and above) receive an additional 0.15% interest on special tenures (i.e., 375 Days, 444 Days, 777 Days, 999 Days), PSB Green Earth (22M, 44M, 66M) Term Deposits of less than Rs 3 crore, over and above

Key Benefits of Punjab and Sind Bank Senior Citizen FD

The following are some important benefits of a fixed deposit provided to senior citizens:

• Automatic Renewal Facility: Fixed deposits are automatically renewed at maturity for deposits under ₹2 crore, ensuring continued returns without requiring branch visits or manual reinvestment by senior depositors.
• Sweep‑in/Sweep‑out Facility: This plan is offered by PSB Flexi Savings Deposits; any savings beyond a certain amount (for example, ₹50,000) can be swept into short-term FDs and then returned to a savings account as needed. That means senior citizens do not have to manage multiple accounts and can earn higher FD rates while maintaining liquidity.
• Flexible Tenure Options: Punjab & Sind Bank offers FD tenures ranging from 7 days to 10 years, including special periods under initiatives like “Green Earth”. These flexible options allow senior citizens to align their deposits with both short-term needs and long-term financial goals.
• Premature Withdrawal Facility: FDs can be closed early in emergencies with a flat 1% penalty on the applicable rate, giving flexibility while retaining most interest earned.
• Special FD Scheme: PSB offers high-yield specials like the PSB Dhan Lakshmi (444 days) and the 375-day deposit. These limited-period schemes provide guaranteed, risk-free returns that are higher than standard FDs.

Punjab and Sind Bank FD Interest Rates for Senior Citizens

Here are the Punjab and Sind FD interest rates for senior citizens with different tenures:

Punjab and Sind Bank FD Rates for Senior Citizens (Less Than ₹3 Crore)

*Punjab and Sind Bank FD interest rates w.e.f. December 15, 2025.

How to Open a Punjab and Sind Senior Citizen FD?

Opening a Punjab and Sind Senior Citizen Fixed Deposit is easy. You can do it online or by visiting a branch, whichever is convenient for you:

1. Online Method

   • Log in to the PSB UnIC digital banking platform.
   • Select "Deposits" or "Open Fixed Deposit" from the menu.
   • Choose the time frame you want and enter the deposit amount.
   • Select the Senior Citizen FD option to benefit from the higher interest rate. You will automatically receive an additional 0.50 percent annually from regular FDs.
   • Select whether you want to receive periodic or cumulative interest payments.
   • Add nominee details, review all details, and submit.
   • You can easily create and validate your FD, including its receipt, with PSB UnIC. You will also receive a confirmation by email or SMS.

2. Offline Method

   • Visit the Punjab & Sind Bank branch nearest to you.
   • Request and complete the application for FD.
   • For seniors (those aged 60 and above), present proof of age in the form of an Aadhaar, passport, voter ID, or school leaving certificate.
   • A passport-size photo
   • KYC documents
   • PAN card or Form 60
   • Proof of profession/activity (as per regulations)
   • Deposit the amount via cash or cheque.
   • To apply for the additional interest benefit, select Senior Citizen FD.
   • After you pick up your FD receipt, the bank immediately issues the FD.

Taxation on Punjab & Sind Bank Senior Citizen FD Interest

Interest earned on Punjab & Sind Bank Senior Citizen FDs is taxable and added to your income. TDS is deducted at 10% if your total interest income for the year exceeds ₹50,000. You can submit Form 15H to avoid TDS if your income is below the taxable limit. Additionally, under Section 80TTB, senior citizens can claim a deduction of up to ₹50,000 on interest from bank deposits.While tax-saving FDs qualify for a deduction under Section 80C, the interest income from them remains fully taxable.

Conclusion

Punjab & Sind Bank's Senior Citizen FD scheme offers FD interest rates up to 7.20% p.a. At it’s 444 days for the Senior citizens and super senior citizens (aged 80 and above) get an additional 0.15% on special tenures below 3 crore. The scheme, which requires a minimum deposit of ₹1,000, provides flexible tenures, premature withdrawal, and an auto-renewal facility with their best FD interest rates. Interest is taxable, with TDS applicable on annual earnings over ₹50,000, though this can be avoided by submitting Form 15H.