RBI Launches Initiative to Help Citizens Recover Unclaimed Bank Deposits
RBI is helping people recover money from inoperative bank accounts and unclaimed deposits transferred to the DEA Fund.
Photo by rupixen
त्वरित संशोधन
Money inoperative for >2 years or unclaimed for >10 years transferred to DEA Fund
UDGAM portal available for search
Special Camps conducted Oct-Dec 2025
महत्वपूर्ण तिथियां
दृश्य सामग्री
RBI's 3-Step Process to Recover Unclaimed Bank Deposits
This flowchart illustrates the simplified process launched by the RBI to help citizens recover their forgotten money from inoperative accounts and unclaimed deposits.
- 1.Identify Unclaimed Deposit (e.g., via UDGAM portal)
- 2.Visit Any Branch of the Concerned Bank
- 3.Submit Claim Form with KYC Documents (PoI, PoA) and Proof of Account Ownership
- 4.Bank Verifies Documents and Claim
- 5.Receive Money with Accrued Interest
परीक्षा के दृष्टिकोण
Role and functions of RBI (monetary policy, banking regulation, consumer protection, financial literacy)
Depositor Education and Awareness (DEA) Fund: establishment, purpose, management, legal basis
Banking sector regulations and reforms (KYC norms, inoperative accounts, digital initiatives)
Financial inclusion and literacy initiatives by government and RBI
Digital governance and technology in banking (UDGAM portal, online services)
Economic implications of unclaimed deposits and their recovery
विस्तृत सारांश देखें
सारांश
The Reserve Bank of India (RBI) has launched an initiative to help individuals recover their "forgotten money" from inoperative bank accounts and unclaimed deposits. Money lying in accounts inactive for more than two years, or unclaimed for over ten years, is transferred to the Depositor Education and Awareness (DEA) Fund of the RBI.
The RBI is guiding citizens through a simple three-step process: visiting any bank branch, submitting a form with KYC documents, and receiving their money with interest after verification. Additionally, the RBI encourages using its UDGAM portal and special camps to facilitate the recovery of these funds, emphasizing financial literacy and consumer protection.
पृष्ठभूमि
Unclaimed deposits have been a persistent issue in the Indian banking system, representing a significant amount of 'forgotten money'. Historically, these funds would remain with banks, often becoming a liability or an operational challenge.
The concept of a dedicated fund to manage and utilize these funds for depositor benefit evolved over time, leading to the establishment of the Depositor Education and Awareness (DEA) Fund. This fund, constituted under Section 26A of the Banking Regulation Act, 1949, aims to protect depositor interests and promote financial literacy.
नवीनतम घटनाक्रम
बहुविकल्पीय प्रश्न (MCQ)
1. Consider the following statements regarding the Reserve Bank of India's (RBI) initiative to recover unclaimed bank deposits: 1. Funds from bank accounts that have remained inoperative for ten years or more are transferred to the Depositor Education and Awareness (DEA) Fund. 2. The DEA Fund is constituted under Section 26A of the Banking Regulation Act, 1949. 3. Depositors can recover their money along with accrued interest through a simple process involving KYC verification at any bank branch. Which of the statements given above is/are correct?
- A.1 and 2 only
- B.2 and 3 only
- C.1 and 3 only
- D.1, 2 and 3
उत्तर देखें
सही उत्तर: D
Statement 1 is correct. As per RBI guidelines, accounts that have remained inoperative for ten years or more are transferred to the DEA Fund. Statement 2 is correct. The DEA Fund was constituted by the RBI in 2014 under the provisions of Section 26A of the Banking Regulation Act, 1949. Statement 3 is correct. The RBI's initiative guides citizens through a simple three-step process: visiting any bank branch, submitting a form with KYC documents, and receiving their money with interest after verification.
2. With reference to the Depositor Education and Awareness (DEA) Fund, consider the following statements: 1. The primary objective of the DEA Fund is to promote financial literacy and awareness among bank customers. 2. The Reserve Bank of India is solely responsible for the administration and management of the DEA Fund. 3. Funds transferred to the DEA Fund are permanently forfeited by the original depositors and cannot be reclaimed. Which of the statements given above is/are correct?
- A.1 only
- B.1 and 2 only
- C.2 and 3 only
- D.1, 2 and 3
उत्तर देखें
सही उत्तर: B
Statement 1 is correct. The primary objective of the DEA Fund is indeed to promote financial literacy and awareness among bank customers, and to benefit depositors. Statement 2 is correct. The DEA Fund is administered and managed by the Reserve Bank of India. Statement 3 is incorrect. Funds transferred to the DEA Fund are not permanently forfeited; the original depositors or their legal heirs can always claim the money from their respective banks, which then claim it from the DEA Fund.
3. In the context of financial consumer protection and grievance redressal in India, which of the following statements is/are correct? 1. The Integrated Ombudsman Scheme, 2021, covers grievances against commercial banks, Non-Banking Financial Companies (NBFCs), and payment system participants. 2. The Reserve Bank of India is the sole regulator responsible for consumer protection across all financial services in India. 3. The Depositor Education and Awareness Fund is primarily utilized for providing direct financial assistance to distressed depositors. Select the correct answer using the code given below:
- A.1 only
- B.1 and 2 only
- C.2 and 3 only
- D.1, 2 and 3
उत्तर देखें
सही उत्तर: A
Statement 1 is correct. The RBI's Integrated Ombudsman Scheme, 2021, indeed integrates the three existing Ombudsman schemes of the RBI – the Banking Ombudsman Scheme, 2006, the Ombudsman Scheme for Non-Banking Financial Companies, 2018, and the Ombudsman Scheme for Digital Transactions, 2019 – covering a wide range of regulated entities. Statement 2 is incorrect. While RBI is a major financial regulator, other bodies like SEBI (for securities markets), IRDAI (for insurance), and PFRDA (for pension funds) are also responsible for consumer protection in their respective domains. Statement 3 is incorrect. The primary utilization of the DEA Fund is for promoting financial literacy and awareness, and for other purposes beneficial to depositors, not for providing direct financial assistance to distressed depositors.
4. Which of the following statements regarding the UDGAM portal recently launched by the Reserve Bank of India is NOT correct?
- A.UDGAM stands for Unclaimed Deposits – Gateway to Access inforMation.
- B.It enables users to search for their unclaimed deposits across multiple banks in one place.
- C.The portal directly facilitates the online recovery and transfer of unclaimed funds to the depositor's active account.
- D.It aims to enhance financial literacy and consumer protection by providing a centralized information platform.
उत्तर देखें
सही उत्तर: C
Statement A is correct. UDGAM indeed stands for Unclaimed Deposits – Gateway to Access inforMation. Statement B is correct. The portal's primary function is to provide a centralized platform for users to search for unclaimed deposits across various banks. Statement D is correct. By centralizing information and simplifying the search process, UDGAM aims to enhance financial literacy and consumer protection. Statement C is NOT correct. The UDGAM portal is an information gateway. While it helps locate unclaimed deposits, the actual recovery process still requires the depositor to visit the respective bank branch, submit KYC documents, and complete other formalities. It does not directly facilitate online recovery and transfer of funds.
Source Articles
Digital Banking Exclusion: How India’s Poor and Marginalised Struggle to Access Their Own Money - Frontline
Locked Out By KYC: How a ‘Banking Formality’ is Depriving India’s Poor of their Right to a Dignified Life - Frontline
Thousands of Pakistan bank accounts hacked, money stolen in October - The Hindu