Results 1 to 4 of 4

Bank Accounts, Fixed Deposits and Locker in Banks

  1. #1
    Junior Member
    Join Date
    Aug 2009

    Default Bank Accounts, Fixed Deposits and Locker in Banks

    Bank Fixed Deposits /Mutual funds/ Bonds etc above Rs 50,000
    should have a nominee and this article is to give some information. .

    Usually ,a blood relative ( son, daughter, mother, father etc )
    is nominated, and in the even of death, the Bank will pay
    the amount to the nominee, on production of death certificate.
    Any other family dispute about sharing the investment
    the Banks/mutual funds/ are not liable , and will not stop payment.
    For nominating a minor , again a blood relative is nominated.
    The nominee can be changed any time and usually kept confidential,.

    Alternate method : to have the deposit as Either or Survivor.
    This has a drawback, as for availing loan against FD
    both have to sign the receipt. Bank will pay to the Survivor.
    If senior citizens, for convenience, and due to physical
    conditions add their employee or manager's name,
    legal heirs have no right to claim the amount.

    Legally, a nominee is only a Trustee , and has NO claim
    on the investment and is expected to hand over the money
    to the deceased legal heirs.
    Some people, nominate their servants/managers etc and it
    is doubtful, whether they will hand over the
    amount as stated above.
    Also P.O Savings Bank follow above procedure.
    Supreme Court has ruled out that in case of Insurance Policy,
    the Company cannot pay to Nominee the Policy amount, and
    all legal heirs have a claim on the amount
    ( unless mentioned specifically in a WILL ). Example :
    A daughter was nominated , and other blood/biological relatives
    like,parents/son, etc have a share in the policy amount.

    Same thing applies to Kisan VikaS Patra and Senior citizens
    Savings Scheme of the Govt in Post offices.

    Also take care, not to sign a blank application
    as the broker or agent can fill anyone's name
    when you invest. Last but not least, consult a lawyer
    about all the implications.

  2. #2


    OK but What in case a son/daughter nominates mother/Father or in any of the case if the nominee is deceased then what???

  3. #3
    Platinum Member panchabhut's Avatar
    Join Date
    Jan 2009


    Quote Originally Posted by Vasundra View Post
    OK but What in case a son/daughter nominates mother/Father or in any of the case if the nominee is deceased then what???
    Nominee can be changed at any point of time.
    In case nominee has not been changed and the nominee has pre-deceased the holder, it would be treated as if no nomination has been filled up.
    Earth, Wind, Fire, Water, Consciousness.

  4. #4
    Junior Member
    Join Date
    Jun 2011

    Smile hi

    even if the nominee is deceased u can submit a death certificate of the deceased and claim the property as per the Hindu Succession Act...Law of Succession..the next person in line will be made the receiver for the property

Similar Threads

  1. Loan? Have you considered loan against Fixed Deposits (FD)?
    By just4kix in forum Investment and Finance
    Replies: 4
    Last Post: 13th December 2011, 10:15 PM
  2. BSNL Plan change fees and security deposits.. Help
    By einstein0072004 in forum BSNL broadband
    Replies: 16
    Last Post: 20th March 2011, 06:22 PM
  3. name of banks
    By jafarsayyid in forum Investment and Finance
    Replies: 23
    Last Post: 30th July 2009, 08:02 PM
  4. Security Deposits in the first bill for Home500C
    By raj_7703 in forum BSNL broadband
    Replies: 1
    Last Post: 19th June 2008, 02:30 PM
  5. Rate your Banks
    By just4kix in forum General offtopic discussions
    Replies: 2
    Last Post: 29th January 2008, 11:15 AM