Finance

Benefits of PNB Housing Fixed Deposit for Young and Old Age Persons

Fixed deposits are widely popular as these are one of the safest and secure forms of investment for all age groups ( Young and Old Age Persons ), particularly Indians. People across the age spectrum opt for this, knowing it has stability over other options like stocks.

The differentiation in interest rates depending upon the applicant’s age makes investing in fixed deposits a beneficial process. 

Now, with the PNB housing fixed deposit calculator, you can calculate your maturity amount at the end of the tenure and the interest rate. This now makes the whole process of managing finance by future goals a straightforward task. Here is your complete list of why investing in fixed deposits is the best utilization of your savings. 

What are the eligibility criteria for investing in fixed deposits?

Fixed deposits offer flexibility in terms of the opening of accounts. This means that You can even open such deposits for minors. Furthermore, non-resident Indians are also eligible for taking these deposits. All Indian residents with reliable identity proof, Hindu undivided family, sole proprietorship, partnership firms, and joint account holders can also benefit from investing in such deposits. 

What are the advantages of investing in fixed deposits? 

Investors in India have been investing in fixed deposits since investing in such deposits means investing in the highest FD rates in India. Various factors distinguish fixed deposits from other deposits, such as higher interest rates and flexibility.  

The advantages of such deposits are listed below:

  • Special Interest Rates for Senior Citizens

The rate of interest on fixed deposits varies for different age groups. For instance, senior citizens are provided with an additional interest rate, which encourages investment and guarantees security for the future. 

  • No Effect of Market Volatility

The rate of interest on fixed deposits remains constant irrespective of the fluctuations in the market rates. This is the primary reason for FDs to be considered safe investments. 

  • Flexible Tenures

You can adjust the tenure of fixed deposits as per your requirements. This offers flexibility to all applicants in terms of how long they can invest in such deposits. 

  • Tax Exemptions 

Income Tax deductions are provided on all fixed deposits under section 80C of The Income Tax Act, 1961. However, the amount of deductions differs for seniors and other citizens. 

  • Increased Earnings 

By investing in fixed deposits, you can get double the amount of what you initially invested. This acts as a source of additional earning for all applicants. 

  • Source of Funds During Emergencies

You can withdraw your fixed deposit as and when you need the accumulated amount in your account. You can do this through premature withdrawal of the deposit, for which different interest rates apply. Therefore, fixed deposit acts as a source of finance during emergencies. 

Documents required for Fixed Deposit:

Documents Required for Individual Fixed Deposit

Following are the documents required for opening an individual fixed deposit with PNB Housing Finance Limited:

  • One latest passport size photograph
  • Self- attested copy of PAN card
  • Self-attested copy of proof of address such as Aadhar card, Voter ID card etc.

Documents Required for Non-Individual Fixed deposit

Various types of organizations can open a non-individual fixed deposit with PNB Housing Finance Limited, such as:

  • Trusts, Associations and Clubs
  • Public/Private Ltd. Company, Co-operative Societies, Co-operative Banks
  • Partnership Firm

Following are the documents required for non-individual fixed deposit:

  1. Trusts/Associations/Clubs:
    • Trust Deed
    • Registration Certificate
    • Copy of Resolution of Investment
    • Trust’s PAN Card Copy
    • Trust’s Address Proof
    • Specimen signatures of authorized persons
    • Photograph, PAN Card, address proof of signing authorities
  2. Public/Private Ltd. Company, Co-operative Societies, Co-operative Banks:
    • Copy of Memorandum & Articles of Association/Bye-laws
    • Copy of Resolution of Investment
    • Specimen signatures of authorized persons
    • Photograph, PAN Card, address proof of signing authorities
  3. Partnership Firm:
    • Declaration of partnership by partners
    • Name and address of partners
    • Specimen signatures
    • PAN Card copy of the firm

Conclusion

We all need financial backing at most stages in our lives. With fixed deposits, you can have guaranteed returns and a source of finance at all times to meet your expenditures. Not only that, these deposits act as an additional source through which funds can be generated quarterly, monthly, or annually depending upon your needs and requirements. 

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