Thinking of taking an overdraft against your fixed deposit to pay off your debts?

Take a look at Punjab National Bank PNB Online Overdraft Facility Against Fixed Deposit.

Punjab National Bank PNB Online Overdraft Facility Against Fixed Deposit

This loan helps borrowers to get funds to meet their urgent financial needs including wedding expenses, travel expenses, medical expenses, etc. against Fixed Deposits (FDs). This scheme can also be repurposed into a consolidation loan to pay off their high-interest credit card debts and loans, thereby consolidating their debts.

Features of PNB Online Overdraft Facility Against Fixed Deposit

Why this Loan?

  • The PNB Online Overdraft Facility Against Fixed Deposit is designed to help PNB internet banking service users avail an overdraft against fixed deposits to meet their urgent financial needs
  • The funds availed from this scheme can be used for personal needs including child’s education expenses, wedding expenses, expenses for overseas or domestic travel as well as for consolidating debts
  • This facility can be availed online

Loan Amount

  • The maximum loan amount offered under this loan scheme is Rs. 5 crore in the case of Sugam Fixed Deposits and Rs. 1 crore for other FD schemes


  • The interest rate applicable to this loan is defined as the sum of two factors: Repo Linked Lending Rate (RLLR) and a Spread factor of 0.25%. As of October 2020, the RLLR of PNB is 6.80% bringing the effective interest rate at 7.05%


  • This loan must be repaid within 3 years or residual period of the Fixed Deposit (FD), whichever is earlier

Margin Money (Borrower’s Contribution to Total Cost)

  • The bank charges anywhere from 5% to 7.5% of the loan amount depending on the type of borrower, maturity period remaining at the time of applying for the advance

Processing Charges

  • As of October 2020, this information is not mentioned on the bank’s website. We suggest talking to a bank representative before applying for this loan

Documents Needed

  • Loan Application Form duly filled and signed by the applicant and co-applicant, if any
  • Two Passport Size Photographs of applicant and co-applicant
  • Personal ID Proof: Aadhaar Card, PAN Card, Passport or Driving License. PAN Card / PAN Card Issuing Letter is must
  • Signature Proof: PAN Card, Banker’s Verification, Driving License or Passport
  • Residential Address Proof (Any One): Aadhaar Card, Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
  • Income/Banking Proof for Salaried Professionals: Last 3 months’ salary slip, Form 16 or income tax returns

Reference Facts

  • Punjab National Bank Website: and (net banking)
  • Headquarters: New Delhi, India
  • Call Centre Toll-Free Number: 1800 180 2222