Transfer of demat account to savings bank nominee
Chakresh jain
(Querist) 06 November 2017
This query is : Resolved
1. A lady lost her husband without leaving a will. Husband has savings bank account in which his wife , the lady , is only nominee.
2. The lady is sole surviving member of her husband's family as she has no children from marriage. There is no other survivor.
3. Her husband also has a demat account in same bank linked with same savings bank account in which she is nominee.
4. There is no separate nominee in demat account.
5. Bank says demat account cannot be transferred to his wife name even though she is nominee in the linked savings account of same branch.
6. She submitted death certificate, passport showing her as wife, her Aadhar id, and survivor member certificate obtained from district magistrate in Delhi as per govt of Delhi website.
7. Bank is insisting on succession certificate.
Pl guide if it is mandatory to get succession certificate from court.
Any other law point to help this lady to get demat account & shares transferred to her name.
Thanks.
Guest
(Expert) 06 November 2017
1) Bank is right to large extent
2) Generally when nomination is not done first thing which is considered what is the value in account /demat account . This is very imp. factor . Here if share prices are high they will insist for Succession certificate.
3) Now if Share prices are not high then they may opt for some other way which they do with saving account where the nomination is not there eg. Giving Indemnity Bond, Some witness who are financially secured they act as security / guarantor in case of problem, Affidavit, etc.
4) While opening Demat account person require to sign agreement with DP , that agreement too is required to be studied if there is any clause when nomination is not done then how steps should be taken
5) But again basic rule if value is more bank insist for succession certificate in such cases
6) See Court is fearful word in society but fact is , it is just like one office with more discipline in front of Judge . Better first detect the market price of shares in Demat account and approach adv. in Hon. Court who can get the work done for you with mutually agreed consultancy fee. This is proper way
Guest
(Expert) 06 November 2017
You need to pay also court fee for getting succession certificate which varies from state to state.
6-8 months period (If no one takes objection ) is fine period according to me . But if Adv is quick and court there is less load it can take place fast too within 3-4 months
Chakresh jain
(Querist) 07 November 2017
When there is nomination in same savings account of same linked account with demat account in same bank where is the problem in accepting the same same nominee who is sole survivor
Chakresh jain
(Querist) 07 November 2017
When there is nomination in same savings account of same linked account with demat account in same bank where is the problem in accepting the same same nominee who is sole survivor
Rajendra K Goyal
(Expert) 07 November 2017
Nomination in saving account does not cover demat account.
Bank stand is tight.
Approach concerned companies to transfer the balance of shares in the name of legal heirs after completing the formalities.
