PNB hikes interest rate on FDs below Rs 2 crore; check new rates here

Following suit they have to increase the rate of interest on fixed deposits also. Wondering to know which bank increased the rate now? Continue reading to find out the answer to your curiosity.

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New Delhi: The Indian banking system regulatory body RBI has increased the repo rate from the previous two financial quarters. The regulatory body increases this rate in tranches. As per the experts, RBI will continue to rise the repo rate to control inflation. As a result, banks started increasing interest rates on loans.

Following suit they have to increase the rate of interest on fixed deposits also. Wondering to know which bank increased the rate now? Here is the answer to your curiosity. ()

The interest rates on fixed deposits (FDs) for elderly persons and super senior citizens were increased at Punjab National Bank, a major public sector bank in India. It is noteworthy that the bank increased interest rates on all tenors for super senior citizens and on one tenor for senior citizens. ()

The new rule came into effect on September 13, 2022. As per the official website of the bank, “The Senior citizens of age 60 years and up to 80 years shall get an additional rate of interest of 50 bps over applicable card rates for a period up to 5 years and 80bps for a period above 5 years on domestic deposits of less than Rs. 2 Crore.

In the case of staff members as well as retired staff members who are also Senior Citizens, the maximum rate of interest to be allowed over the applicable card rate shall be 150 bps for a period up to 5 years and 180bps for a period above 5 years. Further, Super Senior Citizens of age above 80 years shall get an additional rate of interest of 80bps and retired senior citizens will get 180 bps over the applicable card rate across all maturity buckets."

A new interest rate for FDs in PNB

The bank will continue to offer an interest rate of 3.50 per cent on fixed deposits under 2 crores that mature in 7 days to 45 days, while PNB will continue to offer an interest rate of 3.75 per cent for senior citizens ages 60 and up to 80 on term deposits that mature in 46 to 90 days.

PNB increased the interest rate for older folks from 6.15 per cent to 6.45 per cent by 30 basis points. On their fixed deposits with PNB that mature in 1111 days, they will continue to receive interest at a rate of 6.25 per cent.

A new interest rate on FDs of super senior citizen

Due to the change, super senior citizens will now get interest rates on fixed deposits that mature in 7 days to 1111 days that range from 3.80 per cent to 6.55 per cent, with a maximum interest rate of 6.90 per cent on deposits that mature in 405 days.