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RBI Proposes to Penalise Banks for Delaying Claims
Financial Express Bengaluru
|August 08, 2025
The Reserve Bank of India's draft circular released late on Wednesday proposes to significantly ease the claim settlement process following death of an account holder.
The proposed guidelines, applicable to all commercial banks and cooperative banks, cover deposit accounts, lockers and articles in safe custody.
The central bank has sought comments on the draft circular by August 27.
Banks must release funds to nominees or surviving account holders without insisting on legal documents like succession certificates or probate, provided there is no will, court order or dispute, the circular said. The nominee must submit a claim form, the death certificate, and a valid identification document.
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