PNB revises interest rate on FDs by up to 0.5%

The new rate will be effective from January 8

State-owned Punjab National Bank (PNB) today revised interest rate on fixed deposits by up to 0.5% on various maturities.

"For deposits less than Rs 1 crore having maturity between 7-14 days, the new interest rate will be 4.50% from the existing 4%," PNB said in a statement.

Similarly, the bank has increased interest rate by 0.5% on the fixed deposit between 30-45 days. The new rate would be 5% from the existing 4.50%.

For term deposits having a maturity period of 180-270 days, the rate has been revised upwards by 0.25% to 7.75%.

The new rate would be effective from January 8, it added.

On the other hand, the interest rate for fixed deposit of 271 days to less than 1 year has been revised downwards by 0.25% to 7.75%, as compared with existing 8.25%.

Savers would earn 0.25% lower rate of interest on fixed deposits between 1-3 years and 5-10 years.

Fixed deposit between 1-3 years would now earn 8.75% compared to existing 9% while 5-10 years would earn 8.75% against 8.75%.

The bank also realigned interest rates on fixed deposits of Rs 1 crore-Rs 10 crore by up to 0.5%.

Term deposits of 91-179 days would now earn an interest rate of 7.50%, decrease of 0.5%.

Further, fixed deposits in the maturity bucket of 180-270 days would attract an interest rate of 7.75%, down from 8%.

Fixed deposit between 271 days and less than 1 year would now earn 8.25% compared to existing 8.50%, down by 0.25%.

In October last year, the bank had revised interest rates on fixed deposits of Rs 1 crore-Rs 10 crore by up to 2%.