PNB FD Scheme 2026: ₹2 Lakh Deposit = ₹76,000 Fixed Interest? Full Truth Inside

Learn how Punjab National Bank’s 2026 FD rates work, what returns you can realistically expect on ₹2 lakh, senior citizen benefits, rate comparisons, and key pros & cons of this safe investment.

Punjab National Bank’s 2026 fixed deposit (FD) offerings provide predictable, risk-free income through tiered interest rates based on tenure and age category. A ₹2 lakh FD over 5 years at typical rates can yield around ₹2.76 lakh for regular investors, with higher returns for senior and super-senior citizens. This makes it an attractive alternative for conservative savers seeking capital protection and income certainty.

What Is the PNB FD Scheme 2026?

PNB’s FD Scheme 2026 is a traditional fixed-income deposit where you lock in your money with Punjab National Bank for a predefined tenure, and the bank pays a fixed interest rate until maturity. It’s designed for risk-averse investors who prefer guaranteed returns over market-linked products.

PNB offers tenures from 7 days up to 10 years, and interest rates vary according to tenure and age category (general, senior, super senior). (Paisabazaar)

💡 Fixed Deposits (FDs) are among the safest ways to grow savings because the return is fixed and guaranteed by the bank. They are especially useful for goal-based savings like children’s education or retirement income.

How PNB FD Interest Works (2026 Rates)

Here’s how the interest structure works for typical PNB FD tenures:

📌 Note: Exact FD rates are revised periodically. Always verify the latest rates directly via PNB’s official website or your branch before investing.

Example: ₹2 Lakh FD Returns Over 5 Years

A common investor question is: “What returns can I expect on ₹2 lakh?”

Using realistic interest rates for a 5-year PNB FD:

This shows how age-based boosts improve returns for senior investors. (Paisabazaar)

Why PNB FDs Are Popular in 2026

1. Predictable, Guaranteed Returns
Unlike equities or mutual funds, FD returns are fixed — no ups and downs. For conservative investors, this stability is valuable.

2. Tiered Age Benefits
Senior and super senior citizens receive higher interest on the same deposit, making FDs a favored tool for retirement income planning. (Paisabazaar)

3. Flexible Tenures
Short, medium, and long tenures allow investors to align FDs with financial goals (like a 1-year emergency buffer or a 5-year education fund). (Paisabazaar)

4. Safety and Liquidity
PNB is a well-established public sector bank. FDs are covered by RBI’s deposit insurance (up to applicable limits), adding another layer of safety.

Important Things to Know Before Investing

⚠️ Always consider these factors before locking in your deposit.

Inflation Impact:
If inflation consistently runs around 6–7%, the real return (after adjusting for price increases) may be low. FDs preserve capital but rarely beat inflation over long horizons. (My Website)

Tax on Interest:
Interest earned on FDs is fully taxable at your slab rate and may be subject to TDS if it exceeds thresholds. Always plan for tax impact.

Premature Withdrawal Penalty:
Withdrawing an FD early usually reduces interest earned by about 1% (varies by bank policy), so align FDs with your liquidity needs.

Rate Variability:
Banks revise FD rates based on RBI policy changes and economic conditions. The exact rates for 2026 could differ slightly from the examples shown here.

How PNB FD Stacks Up Against Current Bank Rates

As of early 2026:

• PNB FD rates for common tenures generally range around ~3.0%–6.4% for regular investors, with boosts for seniors. (Paisabazaar)
• Some banks and schemes outside PNB may offer higher short-term or special scheme rates depending on competition — sometimes nearing ~7–8% in periodic offers. (The Economic Times)

However, PNB’s strength lies in stability, public sector trust, and clear age-based incentives.

Pros & Cons of Investing in PNB FDs

✅ Pros

• Fixed, guaranteed returns
• Age-based higher rates for senior citizens
• Suitable for risk-averse investors
• Easy to open offline or online

❌ Cons

• Returns may lag inflation
• Interest is taxable
• Lower potential than some market-linked products

Should You Invest in a PNB FD in 2026?

Ideal if you:

• Prefer capital protection over high risk
• Are nearing or in retirement
• Need predictable income or goal-based savings

Less ideal if you:

• Seek inflation-beating growth
• Prefer market-linked returns

Quick FAQs

Q: What is the minimum FD deposit at PNB?
A: Typically as low as ₹1,000, but some schemes require higher minimums. (Paisabazaar)

Q: Can I open multiple FDs?
A: Yes, you can open more than one FD with PNB.

Q: Do senior citizens earn more on FD interest?
A: Yes — senior and super senior citizens get higher interest rates than general investors. (Paisabazaar)

Q: Are FD interest earnings taxable?
A: Yes, FD interest is taxable and may be subject to TDS.

Q: How often is interest paid?
A: PNB offers both cumulative (paid at maturity) and periodic interest options.

Final Takeaway

PNB’s 2026 fixed deposit offerings continue to be a safe, predictable way to grow savings, particularly for conservative investors and senior citizens. A ₹2 lakh FD can realistically deliver ~₹75,000–₹86,000 in interest over 5 years, depending on your age category and exact rate chosen.

Always verify current rates with PNB before investing, and consider matching FD tenures to your personal financial goals.