A) Yes. As per the Banking Companies (Nomination Rules 1985) the nomination can be in favour of a minor. However in that case the depositor/s may appoint other individual not being a minor to receive the amount of the deposit in behalf of the nominee, in the event of the death of the depositor/s, during the minority of the nominee.
Q3) Can the minor depositor nominate?
A) Yes. The person who is lawfully entitled to act on behalf of the nominee can nominate.
Q4) Can nomination be cancelled?
A)Yes. Nomination can be cancelled any time during the currency of the deposit.
Q5) Can the nomination be in favour of more than one individual?
A)No. The nomination has to be only in favour of an individual
Q6) Do I have to fill up separate nomination form for every deposit I make?
A) No. The single nomination form giving description of all the types of deposit accounts in the same capacity can be used.
Q7) Can a Power of Attorney holder or a person acting in representative capacity as the holder of office or otherwise, nominate?
A) No. The nominations can be only for those deposit accounts which are held in individual capacity of the depositor and not as Power of Attorney holder or held in the representative capacity.
Q8) Whether at the time of renewal of the deposit do I have to renew the nomination also?
A) No. Nomination once made or variation thereof or cancellation thereof shall not cease to be in force merely by reason of renewal of the deposit.
Q9) Whether nomination can take precedence over succesor?
A) Yes. Nomination is an arrangement at the hands of the Bank to enable the bank to dispose the proceeds of the account in favour of the nominee who could or could not be legal heir/s.
Legal heirs who are not nominee can settle issues with the nominee. In absence of any restraints or order from the court, the Bank is justified in disposing the proceeds in favour of the nominee.
Q10) When the nomination will take effect in case of joint accounts?
A) In case of joint accounts since ownership is vested into the account holders who are joint holders of the funds in the account, the nomination will take effect only upon death of all the account holders.
