PNB FD Scheme 2025: Invest ₹5 Lakh and Grow It to ₹7.16 Lakh in 5 Years
When it comes to saving money securely, few options give the peace of mind that a Fixed Deposit (FD) does. Punjab National Bank (PNB) has long been trusted by families for stability and reliability. For example, investing ₹5 lakh in a PNB FD can quietly grow into ₹7,16,130 over five years without any extra effort. Let’s understand how this happens and why so many people continue to rely on PNB FDs.
Why PNB FD Is Still a Trusted Option
PNB offers flexible FD tenures ranging from a few months to up to 10 years, allowing you to choose according to your financial goals. Most investors prefer a 5-year FD because the interest rate tends to be higher. Currently, the interest rate stands at 7.25% per annum, with senior citizens enjoying a slightly higher rate of around 7.75%. The interest is compounded quarterly, meaning your money earns interest on interest, helping your savings grow faster over time.
₹5 Lakh FD for 5 Years – Full Calculation
Here’s a simple breakdown showing how your ₹5 lakh investment grows over 5 years:
| Deposit Amount | Tenure | Interest Rate | Total Interest Earned | Maturity Amount |
|---|---|---|---|---|
| ₹5,00,000 | 5 Years | 7.25% (Quarterly Compounding) | ₹2,16,130 | ₹7,16,130 |
By the end of 5 years, your total investment of ₹5 lakh grows to ₹7,16,130, earning ₹2,16,130 in guaranteed interest. Senior citizens investing the same amount can receive slightly higher returns due to the enhanced interest rate.
Why Fixed Deposits Make Sense
FDs are not about instant wealth they’re about security, predictability, and peace of mind. Many people use them to plan for major life events like a child’s education, wedding, or to maintain an emergency fund. FDs offer flexibility in how interest is received, whether monthly, quarterly, or at maturity, making them a versatile financial tool. With PNB, your investment remains secure and fully guaranteed.
Table Summary
| Feature | Details |
|---|---|
| Minimum Deposit | ₹1,000 |
| Tenure Options | Few months up to 10 years |
| Interest Rate | 7.25% p.a. (Senior Citizens 7.75%) |
| Compounding | Quarterly |
| Risk Level | 100% Bank-Backed |
| Interest Payout | Monthly, Quarterly, or at Maturity |
| Ideal For | Safe, predictable returns for all age groups |
Conclusion
The PNB Fixed Deposit Scheme offers a simple, secure, and steady way to grow your savings. By investing ₹5 lakh for 5 years, you can earn ₹2,16,130 in interest, taking home a total of ₹7,16,130. It’s a risk-free option that ensures your money works quietly and efficiently for your future needs.
Disclaimer
This article is for educational and general information purposes only. PNB FD interest rates may change from time to time. Please check the latest rates and terms from official PNB sources or your nearest branch before making any investment.
