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FD Nomination Rules (Up to 4 Nominees)

New rules from 1 November 2025 allow up to four nominees for bank deposits — simultaneous or successive nomination, how to add or change nominees.

Updated 30 September 2026 · 25 banks tracked
Highest FD rate now
7.45%
Bandhan Bank · 2 – <3 years
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What you need to know

Under the Banking Laws (Amendment) Act, 2025, whose nomination provisions took effect on 1 November 2025, depositors can name up to four nominees for a deposit account. Nomination can be simultaneous (each nominee gets a specified share) or successive (the next nominee gets the money only if the one above is not alive). A nominee receives the money as a trustee; legal heirs under a will or succession law can still claim it from the nominee.

Simultaneous vs successive nomination

SimultaneousSuccessive
How it worksShares are split among all nominees in the percentages you set (total 100%)Nominees are ranked; the first surviving one gets the whole amount
Best forDividing money among family membersMaking sure there is always a backup
Applies toDeposit accountsDeposit accounts, lockers and safe custody
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How to add or change a nominee

  1. OnlineNet banking → Deposits → Manage nominee (most banks).
  2. At branchSubmit the nomination form (DA-1 to add; DA-2 to cancel; DA-3 to change) with nominee details.
  3. Keep recordsNote the acknowledgement; the nomination is shown on the FD advice.

Why nomination matters

  • Without a nominee, heirs may need a succession certificate or legal documents to claim.
  • The bank settles claims to nominees faster (RBI has fixed timelines for deceased-depositor claims).
  • Minors can be nominees; you can name a person to receive the money on their behalf.
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Frequently asked questions

How many nominees can I add to an FD?

Up to four, from 1 November 2025.

Does the nominee become the owner?

Not automatically — the nominee receives the money as a trustee for legal heirs.

Information is for education and comparison. Rates and rules change — confirm with your bank and a tax adviser before investing. FinancePortal is not a financial or tax adviser.