The nomination process for bank accounts and lockers is undergoing significant changes under the New Nomination Rules 2025. These key provisions of the Banking Laws (Amendment) Act, 2025, are set to be implemented from November 1, 2025. The primary purpose of these changes is to simplify and speed up claim settlements for customers and their nominees. The major update is the option to nominate up to four people for your accounts and lockers, a significant shift from the previous single-nominee rule. This gives depositors much more flexibility.
For deposit accounts, you can choose simultaneous nomination (where all nominees receive a specific share) or successive nomination (where the next nominee takes effect only if the previous one passes away). However, for safe custody items and lockers, only successive nominations will be allowed. The government will also soon issue the Banking Companies (Nomination) Rules, 2025, which will outline the exact forms and procedures. In this article, we'll take a look at the key features of these new rules, the step-by-step process for adding multiple nominees to your bank accounts and lockers, and what this means for existing nominations.
How to Add Multiple Nominees to Your Account?
The Banking Laws (Amendment) Act, 2025, brings a significant change to your bank accounts. The goal is to simplify and make claim settlement more efficient. These new nomination provisions will take effect on November 1, 2025.
Key Change: Up to Four Nominees
You can now nominate up to four people for your deposit accounts. This is a significant increase from the previous single-nominee system.
Two Ways to Nominate for Deposit Accounts
For bank deposits, you get to choose your preferred nomination type:
Simultaneous Nomination
- You can name up to four people.
- You must clearly state the share or percentage of the deposit each nominee will receive.
- The total of all shares must be 100 per cent.
- This ensures a transparent distribution among all nominees simultaneously.
Successive Nomination
- You can list up to 4 nominees in any order.
- The next nominee in the list only becomes active if the nominee placed higher on the list dies.
- This is designed to ensure continuity of settlement and clarity of succession without requiring frequent updates to the nomination.
What are the Nomination Rules for Bank Lockers and Safe Custody Items?
The new rules also cover physical items you keep with the bank. This includes the contents of safety lockers and articles kept in safe custody.
Key Change: Up to Four Successive Nominees
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Like deposit accounts, you can name up to 4 people for your locker or safe-custody items.
Only Successive Nomination is Allowed
- For safe custody items and lockers, only the Successive Nomination method is permitted.
- You cannot use Simultaneous Nomination (assigning percentage shares) for physical items.
- You must list your nominees in a clear order of priority (up to four).
- The bank will grant access to the next nominee only upon the death of the nominee placed higher on the list.
- This provides a clear, structured way to handle the succession of physical assets.
Conclusion: Operationalising the New Rules
The New Nomination Rules 2025, effective from November 1, 2025, are a big win for bank customers. The main takeaway is the flexibility to name up to four nominees for your deposits and lockers. This move aims to make claim settlements smoother and faster.
For bank accounts, you can now choose between naming all four at once (Simultaneous) with clear percentage shares or listing them in order of priority (Successive). For lockers and safe custody, only the Successive method is allowed. These provisions ensure your assets are handled exactly as you wish.
By simplifying the process, the government hopes to increase transparency and efficiency in the entire banking system. Keep an eye out for the new Banking Companies (Nomination) Rules, 2025, which will detail the final application steps.
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