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Payment of Term Deposit With Mandate of Either or Survivor or Former or Survivor
Payment of Term Deposit With Mandate of Either or Survivor or Former or Survivor
BY R.K.GUPTA
B.Com (Hons); CAIIB; AIB (LONDON); LL.B(I)
PURPOSE OF ARTICLE
My purpose to write this article is to make, the people at large, aware of the changes made by Reserve Bank of India which have material impact on their decision while placing the money in Term/ Fixed Deposits in the Bank in India. For any clarification please feel free to contact the undersigned personally at: House No-207 Sector no 16 FARIDABAD or Mobile No +919899093635
operate/withdraw the matured amount of the fixed/term deposit, when both the depositors are alive. However, the signature of both the depositors have to be obtained, in case the deposit is to be paid before maturity. If the former expires before the maturity of the fixed/term deposit, the Survivor can withdraw the deposit only on maturity. Premature withdrawal would however require the consent of both the parties, when both of them are alive, and that of the surviving depositor and the legal heirs of the deceased in case of death of one of the depositors.
When
Both Depositors alive Both Depositors are alive One Depositor is alive One Depositor is alive
Payment on Maturity/ Signatures required of Payment before maturity are Payment on Maturity Either Depositor Pre-payment before maturity Payment on Maturity Pre-payment before maturity
Pre-payment maturity
Both Depositor
Survivor Depositor Surviving Depositor + legal heirs of the deceased Depositor before Surviving depositor
Both Depositors are alive Both Depositors are alive One Depositor is alive One Depositor is alive
Payment on First named Maturity depositor Payment before First named maturity depositor Payment on Surviving Maturity depositor Payment before Surviving maturity depositor