Transfer of rights in fixed deposits
Kamal Garg
(Querist) 04 October 2016
This query is : Resolved
I wish to transfer all the beneficiary and ownership rights in FD in favour of my parents and act as a custodian for receiving interest and administering FD. How this can be done
Devajyoti Barman
(Expert) 04 October 2016
Take out the whole amount and reinvest the same in their name.
It is most easiest way to make them its lawful owners.
Kumar Doab
(Expert) 04 October 2016
Check with bank if it agrees to add names and transfer interest in one SB a/c.
Kuummaar AS
(Expert) 04 October 2016
1. It is not known whether FD is in a Company or in a Bank.
2. First of all, it has to be seen whether as per terms and conditions, pre-mature withdrawal is allowed.
3. Even if allowed, pre-mature withdrawal will result in levying of penalty charges.
Better option is that for the time being, parents may be made nominees, if not yet made, and on maturity, further action may be considered.
ADV-JEEVAN PATIL, MUMBAI
(Expert) 04 October 2016
1) if fds are on your single name and nominee is kept who on demise can become custodian and if no heir or claimant is there becomes beneficiary after giving indemnity bond to bank . 2) withdraw and make beneficiary of your choice 3) make will or gift
Rajendra K Goyal
(Expert) 05 October 2016
Easiest way without complication is as suggested by the expert Devajyoti Barman. Withdraw the amount and have FD in their name. They can nominate you and authorize to collect interest.
Or You can nominate them in the FD, can write a will.
Or You can ask the Bank to include their name as joint owner of FD with the instructions to operate the account by your parents only or survivors. This would not result in any loss of interest for premature withdrawal.
Kumar Doab
(Expert) 05 October 2016
Open one FD a/c and one SB a/c and sign mandate to credit interest in SB a/c.
The a/c can be joint/E&S/F&S etc.....
krishna mohan
(Expert) 06 October 2016
You can make it in joint name and interest alone you can receive and deposit in joint SB account so that automatically they become joint owner and when you close the FD, proceeds could be deposited in joint SB account or their account if bank agrees.
