Joint Holder, Mandate Holder or Nominee: Who Can Use Your Account?
PF, Banking & Money · Published 22 Oct 2026 · 3 min read
"But Papa is my nominee"
Raghav lives in Toronto. Years ago, he made his father the nominee on his NRO account in Pune. "If anything happens, Papa can use the money," he told his wife.
Last winter, his mother needed surgery. The hospital wanted a ₹2 lakh deposit that evening. Raghav was on a 14-hour flight. His father went to the bank with the passbook. The branch manager was kind but firm: "Sir, you are the nominee. A nominee can't withdraw while the account holder is alive."
A neighbour lent the money, and everyone was fine. But Raghav learned that the word he trusted, "nominee", didn't mean what he thought.
Three roles, three very different powers
There are three ways to bring someone else into your Indian bank account. Each one answers a different question.
| Role | When can they act? | What can they do? | Good for |
|---|---|---|---|
| Nominee | Only after the account holder dies | Receive the money from the bank, without a long legal process | Making sure money reaches family smoothly |
| Joint holder | Depends on the account type and how it's operated (see below) | Operate the account, within the rules | Shared access, or a backup if you die |
| Mandate or power of attorney holder | While you're alive, as you authorise | Day-to-day withdrawals and payments in India, within limits | Someone to pay bills and handle emergencies for you |
Nominee: "who gets it after me"
A nominee has no access while you're alive. Their role starts only after your death, when the bank pays them without the family needing lengthy paperwork.
Since 1 November 2025, you can name up to four nominees for a bank account. They can share it at the same time, in percentages that add up to 100%, or step in one after another if the first can't claim.
Joint holder: "who shares it with me"
- NRE account: you can add a resident close relative (parent, spouse, child, sibling), but usually on a "former or survivor" basis. You operate it. The relative can operate it only after your death. So, like a nominee, they can't help in a live emergency.
- NRO account: joint holding with a resident is allowed, and the operating mode can give the resident more access. Check the exact mode with your bank.
Mandate or power of attorney holder: "who can act for me now"
This is the role that would have helped Raghav. A resident you trust can be authorised to operate your account for local payments in India, such as hospital bills, property tax or rent, while you're abroad.
There are limits. They generally can't send your money abroad to anyone except you, or gift it to themselves. Banks have their own forms for this, so ask your branch exactly what the holder may do.
The solution: set up all three, for three different jobs
Raghav now has three things in place:
- Nominees: his wife and his father, 50% each.
- Joint holder: his father on the NRO account, in a mode that lets him operate it.
- A mandate for his sister in Pune, limited to local payments.
Your checklist
- Check every account (NRE, NRO, FDs, locker) for a nominee. Add or update them, up to four.
- Decide who should be able to act in an emergency while you're alive. Ask your bank for its mandate or power of attorney form for NRI accounts.
- Ask the bank what each role can do on your account type, and get the answer in writing.
- Tell your family who holds which role, and where the account details are kept.
- Review once a year, and after any marriage, birth or death in the family.
The 30-second takeaway
A nominee is for after you're gone. A joint holder may not help while you're alive. For emergencies, set up a mandate or power of attorney with a trusted person in India.
Not sure how your own accounts are set up? Ask in the NRI Prism Community.
This article is for general understanding only. Each bank has its own forms and rules, so confirm with your branch.