Bank Account Inactive for 10 Years? Know How Dormant Accounts Work and How to Reactivate Them
Haven’t Used Your Bank Account for 10 Years? Here’s How It Becomes Dormant and How to Restore It
If you haven’t operated your bank account for a long time, it’s time to take note. According to RBI guidelines, any bank account that remains unused for 10 consecutive years is classified as a dormant account. This rule applies to savings accounts, current accounts, and even matured fixed deposits. Once an account becomes dormant, it is placed on the bank’s inactive list. Interest payments may stop, withdrawals are restricted, and online transactions are blocked.
Although the RBI instructs banks to inform customers before marking an account dormant, many people are unaware that their account has already become inactive. If your bank account has not seen any deposits, withdrawals, or service requests for a long period, it may already fall under this category.
How Dormant Accounts Are Activated Again
The first step to reactivate a dormant account is updating your KYC details. This process must be completed in person, and for this, you need to visit your bank’s home branch with the required documents.
Documents Required for Reactivation:
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Aadhaar Card
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PAN Card
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Passport-size photograph
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Address proof (if your address has changed)
Once you submit your documents, the bank will verify your identity and update your records. After this verification, the bank may ask you to perform a small transaction—such as depositing or withdrawing ₹100—to log new activity in the account. Usually, banks reactivate accounts within 2 to 5 working days.
Charges You Should Be Aware Of
The RBI has clearly instructed banks not to charge any fee for marking an account dormant. However, after reactivation, some pending charges may surface.
These may include:
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SMS alert charges
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Minimum balance penalties
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Chequebook charges
Since many customers don’t check dormant accounts regularly, these charges can accumulate over the years.
Sometimes, updating older KYC details, signatures, or address proofs may take additional time. If your mobile number or email linked to the account is outdated, the process may stretch to 1–2 weeks. In some cases, banks also verify whether your existing balance has been transferred to the Depositor Education and Awareness Fund (DEAF) maintained by the RBI.
What If Your Money Has Been Transferred to RBI’s DEAF Fund?
If your account remains inactive for 10 years, any balance in it is moved to the RBI’s DEAF fund. The good news is that your money remains safe. You can claim it at any time by visiting your bank. The bank will process your request after verifying your identity and submit a claim to withdraw the amount from the RBI fund.
Can a Dormant Account Be Reactivated Online?
No. Under RBI rules, physical verification of KYC documents is mandatory, so you must visit the bank branch in person to reactivate the account.
What If Your Signature Has Changed?
Banks regularly face this issue. If your signature has changed over the years, the bank will take a fresh signature. In some cases, they may also ask for a written or notarized declaration to confirm the change.
Is Your Money Safe Even After 10 Years?
Yes. Whether the account is dormant or the funds have moved to the DEAF fund, your money remains fully safe. You can claim it anytime by visiting your bank with proper documents.
Why You Should Check Your Old Accounts Today
Many people maintain multiple bank accounts for different purposes and forget about them over the years. If one such account has not been used for a decade, it may already be classified as dormant. Reactivating it ensures you don’t lose access to your funds and prevents complications in the future.
Keeping your account active by performing small transactions occasionally—like updating your passbook, depositing money, or using your ATM card—can help you avoid dormancy altogether.
By staying informed and updating your KYC on time, you can ensure seamless access to your banking services without any interruptions.
