As per the Reserve Bank of India (RBI) regulation, an account or maturity amount that remains inoperative for 10 years goes into the unclaimed category.
Bank Account: Death can happen anytime in life. Ever wondered what happens to your investments and bank accounts if you die suddenly? In fact, if a bank account is not used for a long time, it goes into the unclaimed category. Similarly, if the investment matures but the amount is not credited to the investor’s account, the banks or financial institutions enter the ‘unclaimed category’. As per the Reserve Bank of India (RBI) regulation, an account or maturity amount that remains inoperative for 10 years goes into the unclaimed category.
When people die suddenly, when no one in the family knows about their bank accounts and investments, the money in their accounts and investments go into unclaimed deposits. All their financial efforts will be wasted. So, what can be done to avoid such a situation if you die suddenly? Let’s see how you can keep family informed about your bank accounts and investments.
Financial information is critical to the family
You must determine what financial information is important to your family in the event of your sudden death. This can be the details of all your savings and current bank accounts. For bank details, information like bank name, branch, account number, account name, account type, nomination details, etc. is crucial. Regarding investments, information like type of investment, amount in each investment scheme, nominee details, account number of each investment etc. is required.
A physical folder
Make a list of all your investments. Write on paper and mention all necessary details regarding each financial instrument. Create a physical folder with all the investment papers and proofs along with the list you have created. The folder can be kept in your bank locker or safety vault. You can inform your family members about it.
Cloud storage for added security
For added security you can keep a digital copy of the investment details in your email folder or cloud storage like Google Drive.
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