With uncertain market fluctuations and everything that comes with it, it becomes nearly impossible to predict or promise a stable and safe return of investment. This uncertainty has led the majority of Indians to opt for the ultimate alternative- FDs. In this article we will shed light on various types of FDs and their interest rates offered by Canara Bank.
Canara Bank:
Canara bank is one of the oldest and largest public sector banks of India. Established in 1906 at Karnataka, Canara bank now has its branches spread across Dubai, London and New York. The bank has a network of 6310 branches and more than 8851 ATMs spread across 4467 centers in India.
Canara Bank FD Interest rates in 2024:
Punjab National Bank provides multiple fixed deposit schemes to its customers with interest rates varying from 4% p.a.- 7.75% p.a. Here are some of the schemes and their interest rates.
1. Canara Bank Domestic/NRO Term Deposit FD Rates Below Rs.2 Crore
Tenure Regular FD rates (% p.a) Senior citizen FD rates
7days to 45days* 4.00 4.00
46days to 90days 5.25 5.25
91days to 179days 5.50 5.50
180days to 269days 6.15 6.65
270days to less than 1year 6.25 6.75
1year 6.85 7.35
444days 7.25 7.75
Above 1year to less than 2years 6.85 7.35
2years to less than 3years 6.85 7.35
3years to less than 5years 6.80 7.30
5years to 10years 6.70 7.20
Canara Bank Domestic/NRO Term Deposit FD Rates between Rs.2 Crore and Rs.10 Crore
Tenure Regular FD rates (% p.a)
7days to 45days 6.00
46days to 90days 6.25
91days to 179days 7.20
180days to 269days 7.25
270days to less than 1year 7.25
1year 7.25
Above 1year to less than 2years 6.80
2years to less than 3years 6.25
3years to less than 5years 5.00
5years to 10years 5.00
Canara Bank NRE FD Rates w.e.f. 19 February 2024
Tenure Interest Rates (% p.a.) of Deposits >Rs 2 cr- 10 crore
less than Rs 2 crore
1year 6.85 7.25
444days 7.25 NA
Above 1year to less than 2years 6.85 6.80
2years to less than3years 6.85 6.25
3years to less than 5years 6.80 5.00
5years to 10years 6.70 5.00
Canara Bank Tax Saver Deposit
Tenure FD rates (% p.a)
5years 6.7
Note: All the FD interest rates mentioned above are effective as of 1 February 2024 and can change at the discretion of Canara Bank.
Benefits of Canara Bank FD
The major benefits of a Canara Bank FD account are mentioned below:
The minimum deposit amount is Rs.1,000.
The tenure ranges between seven days and ten years.
An additional interest rate is offered for senior citizens.
Addition of nominations.
Loans can be availed.
Premature withdrawal is allowed.
Auto-renewal option is offered.
Joint accounts can be opened.
Types of FDs in PNB
Investors can start with a minimum investment of Rs 1,000 and can explore flexible deposit options with tenures ranging from a minimum of 15 days to a maximum of 10 years.
For deposits of Rs 5 lakh and above, shorter tenures of 7-14 days are available. Interest can be paid out half-yearly, monthly (at discounted rates), quarterly, or annually, depending on your preference.
Senior citizens can enjoy an additional interest rate of 0.50% on deposits under Rs 2 crores, with a tenor of 180 days or more.
Nomination facilities are provided, and investors can also avail of loans of up to 90% of the deposit amount.
Kamadhenu scheme- Reinvestment plan
The Kamadhenu deposit scheme is a reinvestment plan where the interest component is reinvested, giving the benefits of compounding for depositors.
It only demands a minimum deposit of Rs 1,000 and tenures span from 5 months to 10 years.
Interest compounds quarterly, enhancing returns over time. Senior citizen FD depositors enjoy an additional 0.50% p.a. interest rate benefit.
Depositors can also leverage their deposits, availing loans for up to 90% of the deposit amount.
Ashraya Deposit Scheme (For Senior Citizens)
Only individuals aged 60 years and above are eligible for this scheme. It allows both single and joint account openings where joint accounts are permissible with other seniors or those under 60, provided the senior citizen is the primary depositor. The minimum investment stands at Rs 1,000, with flexible tenures ranging from 15 days to 10 years. Domestic term deposits below Rs. 2 crores, excluding specific schemes, and held for 180 days or more, qualify for an additional 0.50% interest over the general rate. Depositors can also access loans up to 90% of their deposit amount, adding flexibility to their financial planning.
Canara Bank Tax Saver Scheme
The deposit scheme offers flexibility with a minimum investment amount of Rs. 100 and a maximum investment cap of Rs. 1.5 lakh.
The tenure is fixed at 5 years, with interest payout options including monthly (discounted) or quarterly.
Interest is compounded quarterly for Kamadhenu Deposits.
The facility of nomination is available, except in cases where the account is opened on behalf of specific entities like minors, companies, firms, HUFs, associations of persons, or bodies of individuals.
Investors can also benefit from income tax deductions up to Rs. 1.5 lakh under Section 80C of the Income Tax Act, 1961.
Conclusion:
FDs are a safe and stable investment vehicle, but they do come at very low interest rates. If you want to explore stable fixed income investment schemes that offer higher interests than that of traditional FDs, head over to Tap Invest and tap into the world of elite deals.
FAQs On Canara Bank FD Interest Rates 2024:
1. Are interest rates for FDs in PNB same for senior citizens?
Compared to regular schemes, PNB offers an additional interest rate for senior citizens.
2. Is a PAN card necessary when applying for an FD scheme?
Yes, a PAN card is mandatory to open a FD account in India.
3. What is the highest rate offered on FD by Punjab National Bank?
One can earn a maximum interest of 7.50%* on the PNB fixed deposit.
4. Is there a monthly income scheme in Canara Bank?
Canara Bank does not offer any specific monthly FD scheme. However, individuals who wish to receive monthly interest from their fixed deposits can opt for the “monthly interest pay-out option”.
