making a friend a family member

Let me tell you that ccording to law, a nominee is a trustee or caretaker of the assets. He/she is not the owner but an individual who will be legally bound to transfer the asset to the legal heirs.

A nominee is a person appointed by the investor who is entitled to receive the proceeds of the investments made by the original investor upon his or her death. However, they are just caretakers of the assets and not owners.

According to Indian law, nominees have the right and duty to facilitate transactions in case of the unfortunate death of the legal owner of the asset. They will get the asset and keep it until they are legally bound to transfer it to the legal heirs of the original investor.

Therefore, you can legally make your friend as nominee however, you cannot legally make her as your sister. But, there won't be any legal issue in future related to nominee issues as the law provides room for your situation, thereby allowing the owner to make any person a nominee.

Hope It Helps

Regards
Kevin M. Paul

Nomination need not necessarily be give to relative only. It can be given to anybody. Nominee's role ends once the deceased persons deposit/Insurance amount etc and distribute to the legal heirs as per their eligibility.

There is no further relationship that continues subsequent to the above functional relationship is over.

Any responsible person can be made as nominee ,he is not legal heir ,his duty is.to safeguard   the asset and to handover to legal heirs of deceased ,he cannot own the property ,if nominee isalso heir then he  gets his legal share only.

Do not get confused with property rights with personal relations, there is no such thing as your query.

ls there a possibility that we can be sisters legally so that there is no problem in the future"

You are an adult and you can allow anyone to stay with you in your flat and this is in no way concerned with property rights.. 

A nomination does not arise when a friend is staying and you can not create any relationship like a sister legally.

Please come out with facts as to whether the society rules bars any outsider staying with a flat owned by someone and as such you are searching to accommodate someone to stay with you for security and to avoid loneliness..

 As an adult and owner you have every right to permit any one to stay with you, no law bars such rights.