Fixed deposit closure on death of first holder

The survivor can collect the payment in E&S a/c.

The joint applicant has to intimate the death with original death certificate and request for conversion of existing deposit in his name.

After such conversion in his name, the depositor is entitled to do as he likes as deposit belongs to him.  This is a simple matter and it takes less than 10 minutes time of Bank to modify the name. The application may be made to Bank in simple form as follows:

1.I am having a deposit No.............dt...............for Rs.............maturing on  in joint names with ....................

2.The joint holder ........................expired on.....................  The original death certificate is enclosed.

 

3.Please convert the deposit account in may name  alone as expeditiously as possible.

The survivor gets entitlement to the FD proceeds ONLY AFTER maturity of the FD. He can't request for premature closure. The FD can run the remaining period of the term, either in the name of the survivor alone, or in the joint names of the survivor along with the legal heirs of the deceased first holder.

The survivor gets entitlement to the FD proceeds ONLY AFTER maturity of the FD. He can't request for premature closure. The FD can run the remaining period of the term, either in the name of the survivor alone, or in the joint names of the survivor along with the legal heirs of the deceased first holder.

I agree with Mr.Prasad. The FD has to run the whole period only if the First named or the Other wish to pre-close. The very purpose of Either or Survivor is to reduce this problem. 

If the Survivor gives the Death Certificate and requests to the Bank to convert it in his/her name, the Bank has to do it.

Having become sole owner of the FD it can be pre-closed.

Even when both signataries are alive, if they both sign, the FD can be pre-closed.

If you Google search for the ruling by RBI, you will get the circular.

For premature fixed deposit withdrawal on death of all but one joint account holders then consent of all legal heirs is mandatory.