Module: General Practice
Q189: Scenario: A customer dies leaving a Savings Account balance of Rupees 4 Lakh. There is no nomination. The deceased has three children. Child A approaches the bank with a "Simple Indemnity Bond" and a "Letter of Disclaimer" from Child B and Child
✅ Correct Answer: C
Correct Answer: C. No, because the claim is within the simplified settlement threshold.
Concept: Application of Simplified Procedure.
Analysis: 1. Amount: Rupees 4 Lakh (This is within the standard Rupees 15 Lakh threshold). 2. Documents: Child A provided Indemnity + Disclaimer from other heirs.
3. Verdict: The Bank MUST settle this under the simplified procedure.
The RBI has raised the threshold for simplified settlement (without succession certificate) to ₹15 Lakh (for Cooperative Banks it is ₹5 Lakh) in the "Settlement of Claims in respect of Deceased Customers of Banks Directions, 2025". The previous threshold was ₹5 Lakh.
Concept: Application of Simplified Procedure.
Analysis: 1. Amount: Rupees 4 Lakh (This is within the standard Rupees 15 Lakh threshold). 2. Documents: Child A provided Indemnity + Disclaimer from other heirs.
3. Verdict: The Bank MUST settle this under the simplified procedure.
The RBI has raised the threshold for simplified settlement (without succession certificate) to ₹15 Lakh (for Cooperative Banks it is ₹5 Lakh) in the "Settlement of Claims in respect of Deceased Customers of Banks Directions, 2025". The previous threshold was ₹5 Lakh.