• My investments after my demise

I am a 40-year-old woman with a husband and a minor daughter. I have investments in fixed deposits and mutual funds, and I have designated my mother as the nominee for these investments. Even if something happens to me, I am sure the investments will be safeguarded by my mother for the benefit of my daughter. I do not have the same level of trust in my husband, and therefore, I want to prevent any scenario where he gains access to these funds.

I want to ensure the following:

1. Nomination and Transfer to Daughter: If something happens to me, my mother will be the nominee and she will oversee the transfer of my investments to my daughter.

2. Contingencies for Mother: In the unfortunate event that both I and my mother pass away, my investments should directly go to my daughter.

3. Contingencies for Daughter: If both myself and my daughter are no longer alive, my mother should receive the investments.

4. Ultimate Contingency: If all of us (myself, my mother, and my daughter) are no longer alive, the investments should be directed to my brother.

In any of the above situations, I don't want anything to reach my husband. 
Should I register a will? Kindly guide.
Asked 2 years ago in Property Law
Religion: Hindu

2 answers received in 30 minutes.

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13 Answers

Better you have to execute a will infavour of Daughter .

The nominee will only be the custodian of the investment till it is given to its right beneficiary(s)

Banks ask their account holders to make nominations which mean that they should nominate persons to whom the money lying in their accounts should go in the event of their death. Nomination can be made in account opening form itself or on a separate form indicating the name and address of the nominee. The account holders can change the nomination any time. A nominee is only a custodian of the deposit and his/her responsibility is primarily to ensure that the legal heir of the depositor gets the money from a fixed deposit. He/ she  primarily becomes the operator of the account in the event of the demise of the depositor and does not actually own the money or have any legal right over the same.

Ajay N S
Advocate, Ernakulam
4125 Answers
114 Consultations

you should execute will bequeathing your investments to your daughter 

 

2) you can make your mother executor of will 

 

3) there should be clause that in event your daughter predeceases you assets would devolve on your mother 

 

4) in the event daughter and mother predeceased you assets would devolve on your brother 

Ajay Sethi
Advocate, Mumbai
99834 Answers
8148 Consultations

Only a will would be able to Secure what you want.

Get a will drafted by a lawyer experienced in estate planning. Get the will registered in the local sub registrar office

Vibhanshu Srivastava
Advocate, Lucknow
9763 Answers
323 Consultations

1. Execute a WILL covering all the queries raised by you.

2.  Registration of WILL is not compulsory. Even an unregistered WILL would have the same legal validity as that of a registered WILL.

Shashidhar S. Sastry
Advocate, Bangalore
5624 Answers
339 Consultations

- You can write a Will  in the presence of two witnesses after mentioning these conditions.

- Further, registered the Will from the office of the Sub-Registrar. 

- Better take help of a local lawyer for drafting the Will. 

Mohammed Shahzad
Advocate, Delhi
15821 Answers
242 Consultations

1. You can transfer these shares by writing a Will in favor of your daughter and appoint your mother as its guardian till such time the minor child becomes major by age.

The nominee is just a trust to receive the assets on behalf of the legal heirs and have to distribute them to the legal heirs subsequently.

2. The Will is the best instrument for this option.

3. Then you can make the Will recitals accordingly.

4. All the desired items can be incorporated in the Will as recital or conditions of the Will to be enforced when it becomes effective.

It will be safe that you register the Will 

T Kalaiselvan
Advocate, Vellore
90033 Answers
2497 Consultations

Only nomination will not do. Execute a registered will or gift deed for your property 

Prashant Nayak
Advocate, Mumbai
34550 Answers
249 Consultations

Please note that a nominee in any financial asset is merely a custodian in respect of the deceased's assets who is duty bound to receive the proceeds and keep them in trust for final disbursements to the legal heirs. In the circumstances of your case, engage a competent lawyer for drafting a suitable Will stipulating all your conditions and register it after due execution in the presence of two competent witnesses. 

Swaminathan Neelakantan
Advocate, Coimbatore
3071 Answers
20 Consultations

Nominee can only receive the property but nominee is legally bound to distribute the property among legal heirs of the deceased. So Your mother is bound to distribute your properties among your daughter and your husband. Admittedly your mother is not your class-1 legal heir. You can make WILL in respect of your properties but your WILL cannot be on probabilities.  

Siddharth Srivastava
Advocate, Delhi
1551 Answers

The nomination will not be a solution, register a will in favor of your daughter and appoint your mother as a guardian.

Gaurav Ahuja
Advocate, Faridabad
137 Answers

Nominee does not have any legal claim. It is only custodian. After your demise, your assets will inherit in your husband and daughter. 

Your daughter is minor. Till she gains majority, father will her guardian. 

3. Bette execute WILL in favor of mother/daughter. 

Bette execute WILL in favor of brother. 

Registration of WILL is not optional but registration is advisable to avoid in dispute in future. 

Language of WILL is important. 

Get it drafted from an expert. Fees chargeable. 

Yogendra Singh Rajawat
Advocate, Jaipur
23083 Answers
31 Consultations

Hi, you can write a WILL as per your wish and the WILL Come into affect only after your death.

Pradeep Bharathipura
Advocate, Bangalore
5625 Answers
339 Consultations

Dear Client
To ensure that your investments are distributed according to your wishes, you may consider taking the following steps:

1. Nomination: Designating your mother as the nominee for your investments is a good first step. However, it's important to note that nomination does not guarantee that the nominee will have absolute control over the assets. The nominee is typically considered a custodian of the assets until they are transferred to the legal heirs.

2. Will: Creating a will can provide additional legal protection and clarity regarding the distribution of your assets. A will allows you to specify your wishes and designate beneficiaries for your investments. It's advisable to consult with a lawyer to draft a will that accurately reflects your intentions and is legally valid.

3. Legal advice: Consult with a lawyer to ensure that your will is properly drafted and covers all the contingencies you mentioned. They can guide you on the specific legal requirements and help ensure that your wishes are legally enforceable.

4. Estate planning: In addition to a will, you may consider other estate planning tools such as trusts, which can provide further protection and control over the distribution of your assets. A lawyer specializing in estate planning can provide guidance on the most suitable options for your specific situation.

Anik Miu
Advocate, Bangalore
11020 Answers
125 Consultations

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