Joint account

A joint account is a bank account in two or more names. The operating mode, such as “either or survivor” or “former or survivor”, decides who can use it and who is paid if a holder dies.

The operating modes

The mode you pick at opening matters more than people realise. “Either or survivor” lets any holder operate the account, and pays the survivor if one dies, which suits a couple’s shared account. “Former or survivor” lets only the first holder operate it while alive, with the second taking over on their death, often used for a parent-and-child or pension setup. “Jointly” needs all holders to sign for every transaction. Choose the mode that matches how you actually want the account used and inherited.

Who gets the money if a holder dies

Under RBI’s 2025 directions, paying the surviving holder in an “either or survivor” (or similar) account is a valid discharge for the bank, once identity and death are verified, so the balance reaches the survivor without a long legal process. That is a big part of why couples hold one.

Add a nominee too

A joint account and a nominee work together, not instead of each other. RBI’s rules say that in a joint account, the nominee’s right arises only after all the holders have died. So name a nominee as well, to cover the case where every holder is gone. See couples financial planning.