My relative had a joint demat account: Can the nominee be changed after death?

These are a set of queries raised by ET Wealth readers, which have been answered by our panel of experts.

A relative had a joint demat account with his wife, though all the investments were made by him. He had no children and had made three of his nephews nominees and mentioned that in his registered will too. After his death, his wife replaced the nominees with her sister’s son. Is this valid?

Vikash Jain, Co-founder, Share Samadhan: In India, joint demat accounts operate under the principle of survivorship (often as ‘either-or-survivor’ mode), where upon the death of one account holder, the surviving account holder automatically becomes the sole owner. Nominations in demat accounts facilitate the transfer process, but they only come into effect if all joint holders die simultaneously or if the account is held individually. A will generally overrides a nomination in cases where nomination applies, but neither overrides the survivorship rule in a joint account.

In this scenario, the wife—as the surviving joint holder—has the legal right to convert the account to her sole name by submitting required documents like the death certificate and a transmission request form to the depository participant (DP). Once she is the sole owner, she can update or change the nominees. While the will’s provisions may express the deceased’s intent, they do not legally bind the transmission of jointly held demat securities. If the nephews believe there are grounds to challenge this (for example, if there’s evidence of undue influence), they may pursue legal action, but based on standard rules, the wife’s actions are valid.


My father has shares in demat and mutual funds, and I’m listed as a nominee in some, but not all, folios. How does nomination change the transmission process, and when do registrars ask for succession certificate/probate even if there is a nominee?

Rajat Dutta, Founder & Initiator, Inheritance Needs Services: Nominees act as custodians on behalf of the legal heirs of a deceased asset holder. Where you are a registered nominee, the Depository Participant (DP) and the Asset Management Company (AMC) will transmit the demat account (including the securities held) and mutual fund investments to you, in accordance with the death claim process prescribed by the Securities and Exchange Board of India (Sebi) and the Association of Mutual Funds in India (Amfi). If a demat account has no nominee, Sebi has specified the documentation required for transmission. Where the value of securities exceeds Rs.15 lakh, an order from a competent court is necessary—probate in case of a will, or a succession certificate/letter of administration if the asset holder died intestate. For mutual fund units, AMFI’s Best Practices Guidelines prescribe procedures based on the investment value. If the value exceeds Rs.10 lakh per Permanent Account Number (PAN) of the deceased, a notarised copy of the probated will, succession certificate, or letter of administration from a competent court is required.

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