RBI Revises Norms for Settlement of Deceased Customers’ Bank Accounts and Lockers, Prescribes 15-Day Timeline.

In September 2025, the Reserve Bank of India (RBI) issued revised norms for the settlement of deceased customers’ bank accounts and lockers, mandating banks to settle claims within 15 days and specifying compensation for delays. The new directives aim to streamline the claims process, enhance accountability, and ensure timely compensation to nominees.

      - Banks must settle deceased customers’ account and locker claims within 15 calendar days of receiving all documents and schedule locker inventory within the same period.

      - The revised norms apply to deposit accounts and safe deposit lockers held by deceased customers. RBI clarified that if the account had a nominee or a survivorship clause, the outstanding balance is payable to the nominee. In the absence of a nominee, a simplified procedure applies if the aggregate claim is below the threshold limit.

      - RBI has set the threshold limits at ₹15 lakh for deposit accounts (any other bank) and ₹5 lakh for co-operative banks. Banks can request additional documents such as a succession certificate or legal heir certificate if the aggregate amount exceeds these limits.

Main Point :-   (i) In case of delays, banks are mandated to pay interest at the bank rate + 4% per annum for deposits. For safe deposit lockers or articles in safe custody, banks must compensate claimants at the rate of ₹5,000 per day of delay.

      (ii) Banks are required to implement the revised instructions at the earliest and not later than March 31, 2026. The norms were issued under the “RBI (Settlement of Claims in respect of Deceased Customers of Banks) Directions, 2025.”

(iii) For deposit accounts without a nominee or survivorship clause, if the aggregate amount is below the threshold limit, banks may settle claims through a simplified procedure. This ensures faster processing and reduces bureaucratic hurdles for claimants.
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