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Chand Pandit (Software)     12 April 2019

Deceased claim with letter of administration

My father's brother and sister (both unmarried) had quite a few accounts and FDs/lockers jointly between them. Accounts are in SBI, PNB, Indian Bank, BoI, etc. My father has already acquired a Letter of Administration from the court as a proof of him being the only legal heir. However, when we are in the process of submitting our claims to the different banks, they have been asking for Indemnity Bonds/sureties, Original FD Certificates, Passbooks of Savings Bank Accounts along with the Letter of Administration. The issue we are facing is that we do not have all the original FD Certificates or the Passbooks of the Savings Bank Accounts. Since my father's brother expired suddenly while my father was at my place being treated for a major disease, my father's sister having expired an year before due to a prolonged illness, most of the Certificates and Passbooks had been misplaced. Under the circumstances, I would like to understand whether it is a valid requirement from the bank when they ask for Original Certificates/Passbooks or Indemnity Bonds/Sureties when the legal representation is already available.


 2 Replies

SIVARAMAPRASAD KAPPAGANTU (Retired Manager)     13 April 2019

To answer your question at the end of your query, I would say Yes, it is a valid request from the Bank. Just imagine the position of the Bank if they settle the claim and someone else too approaches with the original PB and FDRs.  Therefore, banks while settling the death claims, take utmost care to ensure that the amounts are paid to the correct claimants only.


In case you are unable to trace the original PB and FDRs, you may approach the individual Banks and explain the position and give an appropriate letter to them as per their procedure.  Each bank has its procedure for settling the Death Claims.  Therefore, please do comply with the provisions of the procedure for each of the bank for early settlement, rather than fighting and litigating the matter and questioning the banks about their procedure.  Such an attitude only delays the claim settlement and will not serve any other purpose.

1 Like

G.L.N. Prasad (Retired employee.)     13 April 2019

Indemnity letters are mandatory irrespective of the validity of your claims.

If you have mentioned the numbers of such FDRS with bank branch name in LOA generally it is sufficient.

Remember, banks are not giving prescribed deposit receipts now, they are giving only such dummy receipts and they are not in the prescscribed form of receipts.

First consult them in person, convince them, then issue Registered notices claiming for refund and enclose all documents necessary for settling the claim.  State that you are prepared for giving public notice through paper publication also.

Wait for a month and let them respond with such rejection and rule under which they have rejected your legitimate claim.   File one complaint before District Forum and Banking ombudsman, making all the banks.  The entire exercise may cost you less than Rs.500/- for all the banks.

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