No one at death can pre close a deposit. Preclosure while the depositor is alive is feasible subject to deduction heavily while payment is being made. On death of one the other survivor cannot preclose; if money required the survivor can take a loan; and after producing the death cert doc, the deposit will become that of the survivor. Then even the next day, the deposit can be preclosed. And whether E Or S or by will, no deposit will be paid as cash but only will be transferred to account from where the amount can be withdrawn All these are defence of law for the bank wrt the L/H cases. KR IRS
On Wed, 20 Sept 2023 at 19:07, gopala krishnan <[email protected]> wrote: > Sir, > > I will contact S B I for clarification in a few days. Mr A R R quotes RBI > regulation. So it must be the same for all banks. > > My simplest suggestion is closing premature the T D Rs and credit to SB > account when both parties have some ailment, before becoming unable to move > etc. > > I was thinking Just death certificate is enough for premature closure. > Gopalakrishnan > > On Wednesday, 20 September, 2023 at 06:55:44 pm IST, Rajaram Krishnamurthy > <[email protected]> wrote: > > > Dear Shri ARR > Your statement is not fully correct; the joint FD will continue only > as single owne getting the rights; where will is not written joint fd > transfers the right to the either or survivor; having produced the death > cert that can be done automatically. After a lapse of time having gained > access as an individual, he or she can close the deposit in the usual > manner; pre-closure means you lose the amount of interest paid just prior > as you deposited monthly,quarterly etcas the bank will not make interest > latest before pre-closure. If dead without a will, L/H may have to get the > clearance of the court order; if there is a will, copy certified must be > filed. The amount will not be paid as draft or cash. It will be transferred > to the account. And the L/H must close the account as per the banking > rules. I don't see any difficulty. Suppose the relative wanted money from a > deposit for funeral expenses or otherwise, they have to take a loan from > the deposit as either or survivor has that right. Banks will play their > cards only according to law. There is no difficulty in either or survivor. > If facts are different please let me know Thank you KR IRS 20 9 23 > > On Wed, 20 Sept 2023 at 13:18, 'gopala krishnan' via Thatha_Patty < > [email protected]> wrote: > > > Respected sir, > > *Very valuable information.* I was under the impression, death > certificate of T D R primary holder is sufficient. > > If small amounts, it is best to close T D Rs prematurely and credit to SB > account when both are alive, but ailing. > > Now if the second applicant dies? Whether the primary account holder has > to wait? > Gopalakrishnan > > On Wednesday, 20 September, 2023 at 01:00:56 pm IST, SRIRAMAJAYAM < > [email protected]> wrote: > > > *For kind attention of all the Joint-FD holders:* > > Most of us have joint FDRs with “either or survivor” operational > instruction. > > We feel that by having joint operational instruction, we will never face > any operational difficulty in case of any contingency. Our general > presumption is that the other surviving joint holder of FD will have the > same operational powers as we enjoy when both of us are alive. > > But this assumption of ours is far from reality. In the absence of > knowledge about the RBI guidelines, we simply believe, that in case of > death of any one of the joint FD holders, the surviving one can get it even > pre- matured as per his/ her own convenience. Till yesterday, I was also > under the same impression. > > Yesterday, the family members of one of our society flat met me at Union > Bank and shared their problem of not getting the FDRs of their parents > closed pre- maturely. > > I decided to help them in sorting out the matter and met the Bank Manager > along with them to persue him to allow the pre- mature closure of the FDS. > But when the Manager showed me the RBI rulings regarding pre- mature > closure of FDRs, I was surprised and shocked. > > As per RBI Guidelines, in case of death of any one of the joint holder of > FDR (even having valid nomination also), the surviving joint holder do not > have free access to the funds by getting it closed pre- maturely as per > his/ her own choice. He/ She can get the amount only at the time of > maturity of the FDR without any one's interference. Before the maturity > date, for getting it closed, consent of all the legal heirs of the deceased > FDR holder is a must. Means the joint holder does not enjoy the right to > get the FDRs closed before the due date of maturity. The surviving FD > holder is entitled to get the proceeds only at the time of maturity of the > FDR and not before that. > > So, if we have long duration joint FDR, in case of demise of one of the > joint holder, the surviving one can not get the FDRs closed earlier without > the consent of all the legal heirs of deceased person. This provisions > restrict the right of any surviving joint holder to use the funds freely in > case of need. If any one of the legal heirs has objection or not instantly > available, *the surviving FD holder will have to wait till the maturity > date or get the consent of all the legal heirs.* > > *Further, never leave your joint holding FDR without a nomination, as he > will be the one to claim the FDR proceeds in case of any contingency with > both the FD joint holders; otherwise the consent of all the legal heirs > will be required to claim the amount*. > > *One thing is also very clear; that nominee is only the custodian of the > proceeds - not the owner of the amount receivable by him/ her. If we wish > to make the nominee as the sole claimant of FDR proceeds after our death, > we should clearly mention this fact in our 'Will' also to avoid any > dispute.* > > Thanks to my Banker friend for sharing this useful information.. > > As recd. > 🙏🙏 > > -- > You received this message because you are subscribed to the Google Groups > "iyer123" group. > To unsubscribe from this group and stop receiving emails from it, send an > email to [email protected]. > To view this discussion on the web visit > https://groups.google.com/d/msgid/iyer123/CAPpJEvqspdmCSvXJ9Cs7BjgbYR0142qDpaL-TEjpbOOexgHJww%40mail.gmail.com > <https://groups.google.com/d/msgid/iyer123/CAPpJEvqspdmCSvXJ9Cs7BjgbYR0142qDpaL-TEjpbOOexgHJww%40mail.gmail.com?utm_medium=email&utm_source=footer> > . > > -- > You received this message because you are subscribed to the Google Groups > "Thatha_Patty" group. > To unsubscribe from this group and stop receiving emails from it, send an > email to [email protected]. > To view this discussion on the web visit > https://groups.google.com/d/msgid/thatha_patty/290933514.2618188.1695196091096%40mail.yahoo.com > <https://groups.google.com/d/msgid/thatha_patty/290933514.2618188.1695196091096%40mail.yahoo.com?utm_medium=email&utm_source=footer> > . > > -- > You received this message because you are subscribed to the Google Groups > "Thatha_Patty" group. > To unsubscribe from this group and stop receiving emails from it, send an > email to [email protected]. > To view this discussion on the web visit > https://groups.google.com/d/msgid/thatha_patty/CAL5XZor9MZzdWfFNMeGg5L_E4-X6xRkmt3Kz%3DNih7x5EtMHfZg%40mail.gmail.com > <https://groups.google.com/d/msgid/thatha_patty/CAL5XZor9MZzdWfFNMeGg5L_E4-X6xRkmt3Kz%3DNih7x5EtMHfZg%40mail.gmail.com?utm_medium=email&utm_source=footer> > . > -- You received this message because you are subscribed to the Google Groups "Thatha_Patty" group. 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