New Delhi, Oct. 7 -- A nominee is appointed to make it easier for a banking institution to release funds after the primary account holder's demise. Such a step helps in avoiding delays and legal complications later on.

Still, another critical aspect that warrants due consideration is what happens if the nominee dies before the account holder? How will the funds be treated in such cases? What are the different possibilities?

The answer to the above questions depends on whether the account has a single, simultaneous or successive nomination. Let us discuss all the different types of cases in detail.

In accordance with the Banking Laws (Amendment) Act, 2025 and the Banking Companies (Nomination) Rules, 2025, effective from 1 November 2025...