RBI launches easy Process to Retrieve Unclaimed Funds

Did you know that over ₹67,000 crore is lying unclaimed in Indian banks as of June 2025? Many people forget about their bank accounts, or their families are unaware of these deposits.

In some cases, missing documents or lack of awareness prevent families from accessing this money.

If an account has been inactive for more than 10 years, the RBI now offers a simple way to recover these funds.

Why So Much Money Remains Unclaimed

The main reason for the growing unclaimed deposits is poor financial communication within families.

Many individuals invest or save without informing their family members.

When the account holder forgets or passes away, these funds remain idle for years.

RBI’s Special Assistance Campaign

The RBI is running special camps until December 31, 2025, to help people recover forgotten funds.

These camps assist with:

Filling out claim forms

Verifying documents

Updating nominee information

Follow-up support to ensure money reaches the rightful owner

The goal is to simplify the process and strengthen financial awareness.

What Is a Dormant Account?

A savings or current account becomes dormant if it sees no transactions for 2 years. While the money is safe, most services are suspended.

The account becomes active again once a transaction is made or KYC is updated.

If the account remains inactive for 10 years, the balance (including interest) is transferred to the RBI’s Depositor Education and Awareness (DEA) Fund.

Good news: Bank customers or legal heirs can claim these funds at any time—there is no time limit.

How to Recover Your Money

To claim funds from dormant or inactive accounts:

Visit any branch of your bank

Submit KYC documents (Aadhaar, Passport, Voter ID, Driving License)

Fill out the claim form and provide nominee or legal heir documents

Receive your money along with applicable interest

The RBI also organizes special camps from October to December where you can learn more and claim your funds.

RBI Rewards Banks for Returning Unclaimed Money

To encourage banks to return unclaimed funds, the RBI introduced a reward scheme starting October 1, 2025:

If an account is inactive for 4 years, banks receive 5% or ₹5,000 (whichever is lower)

If inactive for 10 years, banks receive 7.5% or ₹25,000 (whichever is lower)

Banks can file claims quarterly, and RBI processes payments within 30 days.

This motivates banks to settle old accounts faster and reduce unclaimed deposits.

How to Check If You Have Unclaimed Money

The RBI offers a dedicated portal called UDGAM to check unclaimed deposits.

Steps to use UDGAM:

Visit udgam.rbi.org.in

Register with your mobile number or Aadhaar OTP

Enter your name, date of birth, and mobile number

The portal shows any inactive accounts, FDs, RDs, savings/current accounts, or other deposits linked to your name

Currently, 30 major banks, including SBI, HDFC, and ICICI, are connected to the portal, covering about 90% of unclaimed deposits.

Tips to Avoid Family Distress Over Money

To ensure your family can access your funds easily:

Maintain a written list of all bank accounts, PPFs, mutual funds, and insurance policies

Inform family members about this list

Keep nominee details updated

Inform family of any changes to bank accounts or investments

Store documents safely and accessibly

Regularly monitor account activity to prevent dormancy

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