Bank Rules : The Reserve Bank of India (RBI) has announced new rules that will come into effect from November 1, 2025, aiming to make the banking system more secure, transparent, and user-friendly. One of the major changes is that account holders will now be able to add multiple nominees to their bank accounts — making it easier and faster for families to claim funds in the event of the account holder’s death.
According to the RBI, these new rules have been formulated in line with global banking standards and to enhance customer service. The main changes include the following:
Three Types of Bank Accounts to Be Closed
RBI has decided to close certain types of accounts that remain unused for long periods, as they pose a higher risk of fraud or misuse.
| Account Type | Reason for Closure |
|---|---|
| Dormant Account | No transactions for 2 years |
| Inactive Account | No customer-initiated transaction for 12 months |
| Zero Balance Account | Account remains open without any activity for a long period |
The RBI stated that these inactive or unused accounts are more vulnerable to misuse. Hence, closing them will enhance the safety and integrity of the banking system.
New Nomination Rules from November 1, 2025
From November 1, 2025, account holders will be able to add up to four nominees for bank accounts, fixed deposits, lockers, and safe custody items.
This change aims to simplify and speed up the process for family members to claim funds or assets after the account holder’s death.
Nominees can now be added in two ways:
- Simultaneous Nomination – All nominees receive a share simultaneously.
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Successive Nomination – The next nominee receives the right after the previous one.
Benefits of the New Rules
- Enhanced transparency in banking and nomination processes.
- Faster and fairer distribution of the deceased account holder’s funds.
- Greater security for old and inactive accounts.
- Reduction in banking frauds.
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Encouragement for customers to stay active and aware of their account activities.
Summary of RBI’s Bank Account Rules 2025
| Point | Details |
|---|---|
| Effective Date | November 1, 2025 |
| Affected Accounts | Dormant, Inactive, and Zero Balance Accounts |
| Maximum Number of Nominees | 4 |
| Nomination Types | Simultaneous & Successive Nomination |
| Purpose | Customer security, transparency, and faster claim process |
| Customer Responsibility | Activate inactive accounts; update nominee details |
| Bank Responsibility | Monitor accounts and send regular alerts |
What Should Account Holders Do?
- Review your account activity before December 2025.
- If your account is inactive, perform a small transaction to keep it active.
- Contact your bank to add up to four nominees as per the new rules.
- Close any zero-balance accounts that you no longer use.
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Keep your KYC and contact details updated to receive timely alerts and information.
These new RBI regulations mark a significant step toward making the Indian banking system safer, more transparent, and customer-centric. Every account holder should review and update their account details according to these rules to avoid inconvenience and ensure smooth financial management.
