New Delhi: The Reserve Bank of India's annual report released on Thursday revealed that unclaimed deposits In Banks There has been a growth of 26% year-on-year, from Rs 62,225 crore a year ago to Rs 78,213 crore by the end of March 2024.
Banks, including co-operative banks, are required to transfer the unclaimed funds. Deposit Of Account holder that have been inactive for 10 years or more reserve Bank of India'Depositor Education and Awareness (DEA) Fund'.
The central bank had issued comprehensive guidelines earlier this year in an effort to assist account holders and streamline existing guidelines on dormant accounts. These guidelines cover various aspects of classifying accounts and deposits as dormant or unclaimed, as well as the measures to be implemented by banks.
RBI advised banks to periodically review such accounts, put in place measures to prevent frauds, establish a grievance redressal mechanism for prompt resolution of complaints and take steps to trace the customers (including their nominees or legal heirs) of inactive accounts or unclaimed deposits so that the account can be reactivated, settled or closed.
These directions were expected to complement the existing initiatives taken by banks and the Reserve Bank of India to reduce the volume of unclaimed deposits in the banking system and return such deposits to their rightful owners/claimants.
The updated guidelines, which will be effective from April 1, 2024, will apply to all commercial banks (including regional rural banks) and all cooperative banks.
To make it easier for depositors to search for unclaimed deposits in various banks at a centralised location, the Reserve Bank of India has developed a web portal called UDGAM – Unclaimed Deposit Gateway for Access to Information.
Banks, including co-operative banks, are required to transfer the unclaimed funds. Deposit Of Account holder that have been inactive for 10 years or more reserve Bank of India'Depositor Education and Awareness (DEA) Fund'.
The central bank had issued comprehensive guidelines earlier this year in an effort to assist account holders and streamline existing guidelines on dormant accounts. These guidelines cover various aspects of classifying accounts and deposits as dormant or unclaimed, as well as the measures to be implemented by banks.
RBI advised banks to periodically review such accounts, put in place measures to prevent frauds, establish a grievance redressal mechanism for prompt resolution of complaints and take steps to trace the customers (including their nominees or legal heirs) of inactive accounts or unclaimed deposits so that the account can be reactivated, settled or closed.
These directions were expected to complement the existing initiatives taken by banks and the Reserve Bank of India to reduce the volume of unclaimed deposits in the banking system and return such deposits to their rightful owners/claimants.
The updated guidelines, which will be effective from April 1, 2024, will apply to all commercial banks (including regional rural banks) and all cooperative banks.
To make it easier for depositors to search for unclaimed deposits in various banks at a centralised location, the Reserve Bank of India has developed a web portal called UDGAM – Unclaimed Deposit Gateway for Access to Information.