Understanding Diamond Dollar Accounts (DDAs) in the Indian Banking System
Diamond Dollar Accounts (DDAs) are specialized current accounts denominated in US dollars, maintained with banks in India. These accounts are exclusively available to firms and companies engaged in the import and export of rough or cut and polished diamonds, coloured gemstones, and precious metal jewellery, whether plain, enameled (minakari), or studded with diamonds or other…
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Step-by-Step Guide to Closing a Bank Account in India
The closure of a bank account requires adherence to specific procedures to ensure compliance with banking regulations and institutional protocols. The following outlines the steps and requirements involved in the process: 1. Submission of a Written Request A written application must be submitted by the account holder to the branch where the account is maintained.…
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Transfer of Bank Accounts from One Branch to Another
Current accounts or SB accounts may be transferred from one branch of a bank to another without incurring any charges. When an account holder wishes to initiate such a transfer, a written request must be submitted—either to the current branch or the branch to which the account is to be transferred. Any unused cheque leaves…
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Opening and Operational Instructions for Current Accounts
Every applicant for opening current account must provide specific documents relevant to their entity type. Additionally, banks are required to perform a comprehensive Know Your Customer (KYC) verification for the entity and its key stakeholders, such as the proprietor, partners, or directors. KYC involves several steps to (i) establish customer identity (ii) understand the nature…
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Documentation Required for Opening Various Types of Current Accounts
The documentation necessary to open a current account varies based on the legal structure of the business entity—whether it is a sole proprietorship, partnership firm, company, trust, society, or government body. Each applicant must provide specific documents relevant to their entity type. Additionally, banks are required to perform a comprehensive Know Your Customer (KYC) verification…
How banks settle claims of a missing person on presumed death?
Settlement of Claims in Respect of Missing Persons Presumed Dead: A Formal Overview Banks in India typically settle claims related to missing persons who are presumed dead by adhering to established legal provisions and regulatory guidelines, primarily those issued by the Reserve Bank of India (RBI). When a person has been missing for a legally…
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