How to Recover Unclaimed Money from Banks, Mutual Funds and Insurance: A Complete Step-by-Step Guide

Millions of people deposit their hard-earned savings into bank accounts, insurance policies and mutual fund schemes. However, due to outdated information, forgotten accounts or misplaced documents, a large portion of this money remains unclaimed for years. According to recent government data, thousands of crores are lying idle because people never claimed what rightfully belongs to them.

If you also suspect that you or a family member may have money stuck in a bank, insurance policy or mutual fund, here is a complete guide to help you retrieve it easily.

How Much Unclaimed Money Exists?

Government records show a massive pile-up of unclaimed funds across financial institutions:

• Around ₹78,000 crore in unclaimed bank deposits

• Nearly ₹14,000 crore with insurance companies

• Approximately ₹3,000 crore in mutual funds

• Close to ₹9,000 crore in unclaimed dividends of listed companies

In most cases, people either forgot their accounts, misplaced policy papers, or never updated their contact information—resulting in funds going unclaimed for years.

How to Claim Unclaimed Money from Banks

Bank accounts become dormant if there is no activity for two years. After this, banks transfer the money to the RBI-managed Depositor Education and Awareness (DEA) Fund. But the money continues to belong to the customer and can be claimed at any time.

Steps to Check and Claim Bank Deposits

1. Visit RBI’s UDGAM Portal
   Open the UDGAM website, designed specifically to help customers track unclaimed deposits.

2. Search Using Basic Details
   Enter your PAN, Aadhaar number or your name to check if any account is linked to you.

3. Visit Your Bank Branch
   If the portal shows an unclaimed account, visit the concerned branch with ID proof and submit a claim request.

This process ensures your funds are verified and returned directly to your active account.

How to Claim Unclaimed Insurance Amounts

Many insurance claims remain pending because policyholders forget to collect maturity amounts, or nominees are unaware of existing policies. After three years of no claim, the amount is transferred to the insurer’s unclaimed list. If it remains unclaimed for ten years, it moves to the Senior Citizen Welfare Fund, but policyholders or their nominees can still claim it.

How to File an Insurance Claim

1. Visit the Bima Bharosa website.

2. Go to Register Complaint and create a profile using your name, mobile number and email.

3. Enter your policy number, claim number and the reason for your request.

4. Upload required documents such as ID proof and policy papers.

5. Submit the complaint to receive a token number for tracking your claim status.

LIC and other insurers also publish details of unclaimed amounts above ₹1,000 on their websites.

How to Recover Unclaimed Mutual Fund Investments

Investors often lose track of mutual fund folios, especially when statements are not updated or email IDs change. To solve this, SEBI has introduced MF Central (MITRA)—a unified platform for all mutual fund-related services.

Steps to Recover Mutual Fund Money

1. Visit mfcentral.com.

2. Select Investor Services → Claim.

3. Enter your PAN, date of birth and registered mobile/email.

4. View all your mutual fund holdings in one place.

5. Create a claim request and upload supporting documents.

6. After verification, the amount will be credited directly to your bank account.

Why Does Money Become Unclaimed?

Some of the most common reasons include:

• Forgetting an old bank account

• Failing to claim insurance maturity amounts

• Not informing family members about investments

• Not updating mobile number, email or address

• Losing or misplacing important investment documents

These small oversights can lead to significant amounts of money getting stuck for years.

How to Prevent Your Money from Becoming Unclaimed

To avoid such situations, follow these simple habits:

1. Keep PAN, Aadhaar and mobile numbers updated across all financial accounts.

2. Store bank, insurance and investment documents in one secure folder.

3. Inform your family members about all your investments and policies.