New Delhi: The government has simplified the process of death settlement claims of several post office small savings plans, such as the Public Provident Fund (PPF), National Savings Certificate (NSC), Post Office Monthly Income Scheme (POMIS), etc., through a circular on 28 August 2020.
The DoP has published guidelines for the quick settlement of deceased claim applications, and post offices are required to ensure that these cases are resolved within the allotted time frame.
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It is important to note that according to the post office, up to Rs. 5 lahks can be refunded after six months after the depositor’s death if there is no nomination in the plan. This amount can be claimed by submitting a claim form, and a death certificate.
“Post offices shall have to ensure settlement of deceased claim cases within the timeline prescribed. Further, Head Post Offices/Sub Post Offices should be sensitized to adhere the following guidelines for timely settlement of deceased claim cases,” said DoP in a press release statement dated 09/01/2023.
(a) At the time of receipt of deceased claim case/ KYC documents, the KYC document(s) of claimant shall be verified with the original KYC documents.
(b) If signature of witnesses is available on copy of the KYC documents, physical presence of witnesses is not required.
(c) The claimant(s) should be sensitized to provide his/her Bank Account/PO Savings Account detail at the time of submission of decease claim case for transfer of payment and obtain Account Detail/signature on acquittance portion, so that nominee(s)/claimant(s) need not visit post office again to get the payment through cheque.
(d) No separate sanction memo is to be issued by Sub Post Office/Head Post Office for settlement of deceased claim cases. SPM/PM shall sanction the claim on the second part of Form-11 which is prescribed as ‘For Office Use Only’.
(e) Once a deceased claim case is received with complete documents, further verification through PRI (P)/SDI (P) is not required.
(f) All post offices shall ensure settlement of deceased claim cases as per prescribed timeline/norms i.e. one working day where nomination exists and seven working days in other cases.
According to a circular dated 06.11.2020, DoP said that “if the eligible amount in a deceased account is above Rs. 5 lakh where no nomination or legal evidence available, the amount shall be paid to the claimant on submission of ‘Succession Certificate’ issued by the court.”
The department also said in the circular that “The Post Office where the account stands, on receipt of the claim either directly or by Insured Post will issue acknowledgment to the claimant on the same day. The claim case is to be settled within 1 (one) working day when nomination exists and within 7 working days in other cases, if the claim falls under its financial powers of the Post Office. If the claim case falls above the financial powers, it shall be forwarded to the sanctioning authority by service Insured Post on the day of its receipt. 2. Divisional office will dispose-off the claim case within 7 working days of the receipt of the same.”
