- In case of death of the depositor, the nominee is eligible to claim the amount held in the deposit account along with interest.
- The Supreme Court (SC) has clarified the nominee of a depositor in a bank does not get ownership of the money in the account after death of the depositor.
- According to Section 45ZA of the Banking Regulation Act , the nominee gets exclusive right to receive the money lying in the account. It gives him all the right of the depositor as far as the depositor's account is concerned, But the banking law is not concerned with the succession. The money in the account will form part of the estate of the deceased depositor and devolve according to the rules of succession.
- Hence,as your brother is nominee in the account of your mother, the bank will not hesitate to release the amount after the sudden demise of your mother. However, certain bank ask for declaration from the nominee.
- Your mother can nominate more than one her legal heirs i.e.you. or she can also move an application for the same to the bank .
- OR you can also inform the bank for not issuing the amount to the nominee because he has not obtained the ownership of the amount being nominee.
- If,bank deny to do the same as per your wish, then you will have to file a case in the court of your jurisdiction for stopping the release of the amount after her life.