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EGM on 23 Dec 2013
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Nomination Facility is an ideal tool to mitigate hardships of common persons in settlement of claims in the event of death of the account holder.
Nomination is optional for bank customers and the facility is available on a voluntary basis. Nomination facility, if availed, would ensure smooth settlement of claim to the nominee.
Nomination is solely for the purpose of simplifying the procedure for settlement of claims of deceased depositors and does not take away the rights of legal heirs on the estate of the deceased.
The nominee would be receiving the claimed amount from the bank as a trustee of the legal heirs.
Nomination facility is intended only for individuals including a sole proprietary concern.
Nomination can be made in favour of minor also.
There cannot be more than one nominee in respect of single/ joint deposit account. However, nomination in favour of more than one person is permissible in jointly operated locker account with common consent.
Bank allows variation/ cancellation of a subsisting nomination by all the surviving depositor(s) acting together.
In a joint account the nominee's right arises only after the death of all the depositors.
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