RBI Appeals to Banks: Speed ​​Up Return of Unclaimed Deposits

The Reserve Bank of India (RBI) has urged banks to accelerate efforts to return unclaimed deposits worth over ₹67,000 crore to their rightful owners. This includes dormant savings accounts, current accounts, matured FDs, and others.

In India, thousands of crores of rupees of "unclaimed" money lies in banks. This is money that no owner has come forward to claim. The Reserve Bank of India (RBI) recently urged banks to accelerate efforts to return this unclaimed deposit worth over ₹67,000 crore to its rightful owners. This is a huge amount, and it shows how many people are either unaware of their money or unable to claim it.

What is an Unclaimed Deposit?

Unclaimed deposits are money that has been lying idle in bank accounts for ten years or more. This can include:

Inactive savings and current accounts: Accounts that have not seen any transactions for ten years.

Matured FDs (Fixed Deposits): FDs that have been inactive for ten years but have not been claimed.

Unclaimed dividends, interest warrants, and insurance proceeds: This is money that was due from companies or insurance policies but remained unclaimed for some reason.
After remaining inactive for ten years, this money is transferred by banks to the "Depositor Education and Awareness (DEA) Fund" operated by the RBI.

RBI's Special Initiative: Focus on Rural Areas

The RBI is taking this problem seriously and has planned a special outreach initiative from October to December. This initiative will focus especially on rural and semi-urban areas, where literacy and financial awareness are low. Under this campaign, the RBI and banks will conduct local publicity in various languages ​​through print and electronic media to reach as many people as possible.

State-Level Bank Committees (SLBCs) will also analyze unclaimed deposit data to identify areas with the highest concentration of money and to make special efforts to recover it.

"UDGAM Portal": An Easy Way to Find Your Money

The RBI has launched the "UDGAM Portal," a centralized online platform for public convenience. This portal helps you search for your unclaimed deposits across various banks in India. Currently, the portal covers approximately 90 percent of the unclaimed deposit value, with participation from approximately 30 banks. This is a very useful tool that can help you locate your unclaimed money from the comfort of your home.

Role of Insurance Companies and Senior Citizens Welfare Fund

Not only banks, but insurance companies also grapple with the problem of unclaimed money. According to the Insurance Regulatory and Development Authority (IRDAI), all insurance companies that have unclaimed amounts from policyholders for a period of more than 10 years are required to transfer the amount, along with interest, to the "Senior Citizen Welfare Fund" every year.

It is important to know that even after the transfer to the Senior Citizen Welfare Fund, policyholders or claimants remain eligible to claim the amount due under their respective policies for a period of up to 25 years. This fund is used to fund schemes promoting the welfare of senior citizens.

What to do if you think your money is stuck?

If you think you or a family member may have unclaimed money lying with a bank or insurance company, you should take these steps:

Go to the Origin Portal: First, go to the RBI's Origin Portal and search for your or your family member's name.

Contact the relevant bank or insurance company: If you find any information on the portal, contact that bank or insurance company directly.

Have the necessary documents ready: To claim the money, you will need proof of identity (Aadhaar card, PAN card), proof of address, and bank account documents.

Seek legal advice (if necessary): If the matter is complex or you are unable to understand the process yourself, it may be beneficial to consult a financial advisor or lawyer.