New Delhi, Oct. 29 -- The Reserve Bank of India (RBI) has released new directions on banks' nomination facility, which will come into force on 1 November 2025. The rules pertain to deposit accounts, safe deposit lockers and articles kept in safe custody with the banks.

The nomination facility is intended to facilitate the expeditious settlement of claims by banks after the death of a customer and to avoid hardships that may befall their kin. Despite these advantages, if a customer chooses not to opt for nomination, it will be allowed, as per the new rules..

The RBI directions state that a bank is supposed to explicitly inform the customer of the availability of the nomination facility and offer them the option to utilise it.

The bank o...