This rule of bank account and PPF has changed, there has been a big change in the nominee

Bank Account Nominees: The banking sector of the country has been growing continuously in the last few years. The government's focus is on reducing NPA and strengthening the financial position of banks. The Union Cabinet on Friday took decisions to make some important changes related to the banking sector. In which the information given by the cabinet said that the government has approved about 6 changes in the banking rules. The biggest change has been made regarding bank account nominee. The implementation of the new rule will affect all the account holders of the bank. In the information given by the cabinet, it has been said that now a maximum of four nominees can be made in any bank account.

In addition to the new customer feature,
A new system of making 'continuous and simultaneous' nominees will also be introduced. The purpose of these changes is to save the customer from any kind of trouble. In fact, recently it has come to light that there are many bank accounts in which thousands of crores of rupees are lying and there is no claimant for them. A special campaign was also run by RBI in this regard. But that too did not yield satisfactory results. For this reason, preparations are being made to change the rules.

what is the new rule
Currently, when you open a bank account, you have to enter the name of the nominee. Its purpose is to give the money deposited in the account to that person after your death. At present, you can write the name of only one person in the nominee list for this. But now after the approval from the Union Cabinet, under the new rule, you will be able to nominate more than one person in your account. Apart from this, like insurance and Hindu Undivided Family (HUF) accounts, the facility of continuous and simultaneous nomination will enable the joint account holder and the heirs to receive the money after the death of the account holder.

There can be more nominees
According to a report published in the Times of India, there can be more than one nominee in the Public Provident Fund managed by the Centre. However, the full details of these rules will be clear only when Finance Minister Nirmala Sitharaman introduces this bill in Parliament. No further information has been given by the government and officials in this regard. A few months ago, Finance Minister Nirmala Sitharaman had raised concerns about the money deposited in bank accounts and other places, which no one claims.

real owners will get the money
The Finance Minister had ordered banks, mutual funds and other financial companies to return this money to the real owners. But still such amount increased to more than Rs 78,000 crore by the end of March 2024. Banks tried several times to settle the claims of such money. There is also a plan to change the law, so that if someone has bonus money from shares or bonds and it has not been claimed, then it can be transferred to the Investor Education Protection Fund (IEPF). Currently only shares of banks are transferred to IEPF.

Freedom to decide salary of auditor
Apart from this, the government has also proposed to give banks the freedom to decide the salary to be given to the auditor. At present, this right was with the Reserve Bank. Apart from this, shareholders who have shares up to Rs. 2 crore will be considered substantial shareholders in the concerned company. Earlier this limit was Rs 5 lakh, it was fixed about 60 years ago. The bill also proposes to redefine the regulatory compliance dates for banks. Under this, banks have to submit reports on the 15th and last date of every month, currently this work is done on the second and fourth Fridays.