Fixed deposits (FDs) are still one of the most trusted investment options for many Indian families.
People prefer them because they offer stable and guaranteed returns without market risk.
If you are planning to invest safely, Punjab National Bank is offering attractive interest rates on its long-term FD schemes.
By investing ₹2 lakh in a 10-year FD, investors can earn a good return by the time the deposit matures.
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PNB FD Scheme: Tenure and Interest Rates
Punjab National Bank offers FD schemes with a tenure ranging from 7 days to 10 years.
The bank currently provides interest rates starting from 3 percent and going up to 7.40 percent, depending on the tenure.
Among these options, the 10-year FD scheme is quite popular, especially among people who want to build a fund for their future or their children’s education.
One major benefit of long-term FDs is compound interest, which means you earn interest on both your original deposit and the interest accumulated over time.
Because of this, even a small investment can grow into a larger amount in the long run.
How Much Will You Get on ₹2 Lakh FD?
If a general investor (below 60 years) deposits ₹2,00,000 in a 10-year FD with Punjab National Bank, the bank currently offers 6 percent annual interest.
Here is how the calculation looks:
Total investment: ₹2,00,000
Interest rate: 6%
Total interest earned: ₹1,62,804
Total maturity amount: ₹3,62,804
This means that in 10 years, your ₹2 lakh investment can grow to over ₹3.6 lakh, giving you around 81 percent return in interest alone.
Higher Returns for Senior Citizens
Punjab National Bank offers higher interest rates to senior citizens (above 60 years) and very senior citizens (above 80 years).
For a 10-year FD, senior citizens receive around 6.80 percent interest.
If a senior citizen invests ₹2,00,000, the returns would be:
Total investment: ₹2,00,000
Interest rate: 6.80%
Total interest earned: ₹1,92,526
Total maturity amount: ₹3,92,526
In this case, the investment of ₹2 lakh grows to nearly ₹4 lakh, making it an attractive option for retirees looking for steady returns.
Why Long-Term FDs Are Recommended
Some special FD schemes in the market may offer slightly higher interest rates for shorter periods, such as 444-day deposits.
However, many financial experts still recommend long-term FDs.
The main advantage is that the interest rate gets locked for the entire tenure.
Even if banks reduce FD interest rates in the future, your investment will continue earning the higher rate that was fixed when you opened the FD.