How to Close an Punjab and Sind Bank Fixed Deposit Account

Updated on: Sep 5th, 2023

Fixed deposits (FDs) are popular investment instruments for their assured returns and safety. However, a depositor may sometimes need to liquidate their FD before its maturity date due to unforeseen financial requirements.


Breaking an FD, especially in a renowned institution like Punjab and Sind Bank, is quite straightforward. This blog aims to guide you on how to do it efficiently, ensuring you can access your funds when you need them the most.

How to Break an FD in Punjab and Sind Bank

Offline Method - At the Branch

Step 1: Visit the nearest Punjab and Sind Bank branch.
Step 2: Submit an account closure application for terminating your fixed deposit prematurely. Ensure you have your Fixed Deposit Receipt (FDR) and other necessary identification documents.
Step 3: Provide prior notice of 1 complete banking day to the bank.
Step 4: After processing, collect the amount either in cash or as a bank transfer, as applicable.


Online Method - Through Internet Banking or Mobile App

Step 1: Log in to their mobile app or PSB’s UnIC, PSB Internet banking services.
Step 2: Navigate to the FD section and select the FD you wish to break.
Step 3: Follow the on-screen instructions for premature withdrawal.
Step 4: Confirm the premature withdrawal, and the amount will be credited to your linked bank account.


What are the charges for prematurely breaking an FD in Punjab and Sind Bank?

While the master blog doesn’t specify any general charges, no premature account closure charges are levied on staff and ex-staff members. However, it’s advisable to check with the bank for updated charges.

If I have a duplicate FDR, can I break my FD?

If a duplicate FDR holder wishes to cash it in early, the bank will deposit the amount into their account at Punjab and Sind Bank or another bank of their preference.

Is there a mandatory notice period for premature withdrawal?

Yes, providing prior notice of 1 complete banking day is mandatory to break a PSB FD.

Will I lose out on interest if I break my FD early?

While specific rates aren’t mentioned in the master blog, premature withdrawal might reduce the interest earned. It's best to consult with the bank on the exact amount.

Can I break my Tax Saver FD prematurely?

No, the Tax Saver FD has a lock-in period of 5 years. You cannot encash this deposit before the expiry of 5 years.

Is the process of breaking an FD different for senior citizens?

The process remains the same; however, it’s essential to note that senior citizens benefit from additional interest rates. Premature withdrawal might affect these rates.

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