Archive · 1 Jan 2026
HDFC Bank Faces Criticism for Delaying Nominee Settlement
A woman named Veena Venugopal shared her frustration on social media about HDFC Bank not transferring her late husband's account balance to their daughter, who is the nominee, even after a year.
She said the bank lost the documents and asked for more papers, making the process very slow.
Another bank, IndusInd Bank, settled a similar account in just two weeks.
The bank apologized and asked for more details to resolve the issue.
Rules say banks should settle such claims within 15 days, but this case took much longer.
Some people, like a member of parliament, are also asking the government to look into this problem.
Veena Venugopal accused HDFC Bank of delaying the transfer of her late husband's account balance to their daughter, the nominee, for over a year.
All required documents, including the death certificate, were submitted, but the bank claimed they were lost and asked for fresh documentation.
The nominee, a 20-year-old daughter, had to visit the bank multiple times and explain the circumstances of her father's death to new officials.
IndusInd Bank settled a similar account held by the same deceased person in just two weeks, highlighting the delay at HDFC Bank.
HDFC Bank apologized and requested more details to resolve the issue, while Congress MP Karti Chidambaram commented on the post and said he would raise the issue in Parliament.
- Who
- Veena Venugopal, editor of the Financial Times India newsletter, and her 20-year-old daughter (the nominee)
- What
- Delay in transferring the balance of a deceased account holder's bank account to the nominee
- When
- Over a year after the account holder's death
- Where
- HDFC Bank, one of the country’s largest private banks
- Why
- Due to alleged delays and bureaucratic hurdles in the settlement process
- Complainant
- Veena Venugopal
- Bank Involved
- HDFC Bank
- Nominee
- Venugopal's 20-year-old daughter
- Documents Submitted
- Death certificate, fresh documentation, notarised papers
- Bank's Response Time
- Over a year
- Comparison Bank
- IndusInd Bank (settled in 2 weeks)
- Regulatory Body
- Reserve Bank of India (RBI)
- Required Settlement Time
- 15 days (as per banking rules)