In a landmark move, the Central Government has clarified that there are no restrictions for LGBTQIA+ couples to open joint bank accounts or nominate their partners as nominees. This announcement follows a recent advisory issued by the Ministry of Finance on August 28, 2024.
The advisory comes in the wake of the Supreme Court’s judgment in the marriage equality case, Supriyo @ Supriya Chakraborty & Anr v. Union of India. While the court did not legalize same-sex marriage, it directed the government to ensure that queer couples have access to various benefits traditionally available to married couples.
Previously, same-sex couples faced challenges in opening joint bank accounts due to legal and administrative hurdles. However, with this new directive, LGBTQIA+ individuals can now seamlessly open joint accounts with their partners, enjoying the convenience and security associated with such arrangements.
The Finance Ministry’s notification explicitly states that LGBTQIA+ individuals can open joint bank accounts and nominate their partners to receive the balance in the account in the event of the account holder’s death. This move is seen as a significant step towards financial inclusivity and equality for the LGBTQIA+ community.
The Reserve Bank of India has also issued a clarification to all Scheduled Commercial Banks, ensuring that these guidelines are implemented effectively1.
This decision has been widely welcomed by LGBTQIA+ activists and allies, who see it as a positive step towards recognizing and respecting the rights of queer individuals in India. It marks a significant shift in policy, reflecting the ongoing efforts to create a more inclusive society.
