Losing an elderly family member is emotionally difficult.
During such times, dealing with financial matters like fixed deposits (FDs) is often not the first priority.
But after some time, families usually face an important question — who will receive the FD money and how can it be claimed from the bank?
The process depends mainly on whether the deceased person had added a nominee or prepared a will.
If There Is a Nominee, the Process Becomes Easier
When a nominee is already registered in the FD account, claiming the money is usually simple and faster.
The bank generally asks for:
Death certificate
Identity proof
FD details
Basic claim forms
After verification, the bank releases the amount to the nominee.
However, many people misunderstand the role of a nominee.
A nominee is only the person who receives the money from the bank.
The actual legal ownership may still belong to the legal heirs of the family.
This means the amount may later be divided among family members according to inheritance laws or a will.
What If There Is No Nominee?
The process becomes more complicated if no nominee is mentioned in the FD.
In such cases, the bank will not release the money immediately.
Instead, it may ask for legal proof to identify the rightful heirs.
The family may need documents such as:
Legal heir certificate
Succession certificate
Court documents in some cases
Because of these formalities, FD claims without a nominee often take much longer.
Who Is Considered a Legal Heir?
The legal heir depends on the family’s personal laws and legal rules.
In most cases, the first rights usually go to:
Spouse
Children
Parents
In certain situations, grandchildren may also have a claim.
This is one of the main reasons disputes happen within families, especially when multiple people believe they have rights over the money.
Why Do Some FD Claims Get Delayed?
Banks become extra careful when there are multiple legal heirs involved.
Sometimes, the bank may ask other family members to submit a No Objection Certificate (NOC). If even one family member disagrees, the process can slow down further.
In more complicated cases, the family may need a succession certificate from the court, which can take several months.
Documents Usually Required for an FD Claim
Banks generally ask for these documents while processing an FD claim:
Death certificate of the account holder
Identity proof of the claimant
FD account details
Legal heir or succession certificate (if needed)
For smaller FD amounts, some banks may follow a simpler process. But for larger amounts, stronger legal verification is usually required.
How Families Can Avoid Such Problems
Experts suggest that every bank account and FD should always have a nominee.
Preparing a clear will can also prevent confusion and disputes later.
If your family is already facing this situation, the best approach is to first speak with the bank and understand the exact documents required.
Keeping communication clear among family members can also make the process smoother and less stressful.
