Unclaimed deposits base swells to Rs 42,270 crore

RBI asked banks to formulate board approved policy on classification of unclaimed deposits; and put in place a grievance redressal mechanism for quick resolution of complaints, record keeping, and periodic review of unclaimed deposit accounts

New Delhi: There has been a 28 per cent annual increase in unclaimed deposits with the banks to Rs42,270 crore as on March 2023, Parliament was informed on Tuesday.

As compared to Rs32,934 crore unclaimed deposits with public and private sector banks in FY22, the amount increased to Rs42,272 crore at the end of March 2023, an increase of 28 per cent. As much as Rs36,185 crore unclaimed deposits were with public-sector banks while Rs6,087 crore were with private sector banks at the end of March 2023. Banks send unclaimed deposits of account holders lying in their accounts for 10 or more years to RBI’s Depositor Education and Awareness (DEA) Fund. RBI has taken various steps to reduce the quantum of unclaimed deposits and return such deposits to rightful claimants, Minister of State (MoS) for Finance Bhagwat K Karad said in a written reply to Rajya Sabha.

As per the RBI’s direction, banks have been advised to display the list of unclaimed deposits in accounts that are inactive or inoperative for ten years or more on the banks’ websites and find the whereabouts of the customers, or legal heirs in case of deceased account holders, in order to return unclaimed deposits to the rightful claimants.

RBI asked banks to formulate board approved policy on classification of unclaimed deposits; and put in place a grievance redressal mechanism for quick resolution of complaints, record keeping, and periodic review of unclaimed deposit accounts, he said. A centralised web portal, Unclaimed Deposits Gateway to Access Information (UDGAM), to search unclaimed deposits across multiple banks, has been set up by RBI, he said. Further, he said, RBI has launched campaign ‘100 Days 100 Pays’ for banks to trace and settle the top 100 unclaimed deposits of every bank in each district within a 100-day timeframe, commencing from June 1, 2023 to September 8, 2023.