What are Unclaimed Deposits and How to Claim Them?

Do you know that as on March 2024, there are unclaimed deposits of ₹78,213 crore lying in bank? It’s a 26% year-on-year jump! The rising cases of unclaimed deposits pose a serious concern, especially due to increase in account-related fraudulent activities. Taking note of this, we have come up with a detailed guide on how to claim deposits that are yet to be claimed. But first things first – let’s understand what exactly unclaimed deposits are.

What are Unclaimed Deposits?

As per RBI’s (Reserve Bank of India) definition, balances in savings / current accounts which are not operated for 10 years, or term deposits not claimed within 10 years from date of maturity are classified as “Unclaimed Deposits”. These amounts are transferred by banks to “Depositor Education and Awareness” (DEA) Fund maintained by the Reserve Bank of India. The depositors are, however, still entitled to claim the deposits at a later date from the bank(s) where such deposits were held along with interest, as applicable.

When Does Unclaimed Deposit Happen?

As per RBI, the increasing number of unclaimed deposits primarily stems from depositors not closing savings accounts or current accounts they no longer intend to use or failing to submit redemption claims for matured fixed deposits. Additionally, there are instances where accounts belong to deceased individuals and their nominees or legal heirs do not step forward to claim the funds from the bank. To assist such depositors or their nominee/legal heirs in identifying and reclaiming these deposits, banks provide a list of unclaimed deposits on their websites with identifiable details. The public is encouraged to review these lists and contact the relevant bank to claim the funds.

How Do Banks Handle Unclaimed Deposits?

• Banks transfer the funds to the Depositor Education and Awareness (DEA) Fund of the Reserve Bank of India (RBI)
• Banks are required to display a list of unclaimed deposits
• Customers can search for their unclaimed deposits using the UDGAM or bank portal

Which Funds are Credited to DEA Fund?

• Savings bank deposit accounts.
• Fixed or term deposit accounts.
• Cumulative/recurring deposit accounts.
• Current deposit accounts.
• Other deposit accounts in any form or name.
• Cash credit accounts.
• Loan accounts (after due appropriation by the banks).
• Margin money against the issue of Letters of Credit/Guarantees, or any security deposit.
• Outstanding items, such as: Telegraphic transfers, mail transfers, demand drafts, pay orders, bankers' cheques. Sundry deposit accounts, vostro accounts, inter-bank clearing adjustments. Unadjusted NEFT credit balances and other transitory accounts. Unreconciled credit balances related to ATM transactions.
• Undrawn balances in prepaid cards issued by banks (excluding amounts outstanding against travellers' cheques or instruments without a maturity period).
• Rupee proceeds of foreign currency deposits held by banks after converting foreign currency to rupees, as per current foreign exchange regulations.
• Any other amounts as specified by the Reserve Bank from time to time.

Where Can You Search for Unclaimed Deposit?

Let’s say you have unclaimed deposit with Ujjivan. In that case, you can search for unclaimed deposit here.

Another alternative would be searching via the UDGAM portal.

How to Check Unclaimed Deposit at UDGAM Portal

Here's how to use the portal to look for your unclaimed deposits.

Step 1: Visit website https://udgam.rbi.org.in/unclaimed-deposits/#/login

Step 2: Enter your phone number, password, captcha code. Enter the OTP received.

Step 3: In the next page, Name of Account Holder is mandatory field. Select the banks from the list.

Step 4: Enter minimum one input from the below search criteria.

• PAN
• Voter ID
• Driving License Number
• Passport number
• Date of Birth

Step 5: Click on search option. It will display if there is any unclaimed deposit account.

How to Register to Check for Unclaimed Deposit at UDGAM Portal

Step 1: Visit website UDGAM https://udgam.rbi.org.in/unclaimed-deposits/#/register

Step 2: Register your phone number. Enter your name.

Step 3: Set a password. Enter Captcha code

Step 4: Tick the Check box and click Next. Enter OTP to verify.

What is UDRN?

UDRN, which stands for Unique Debt Reference Number, is a distinctive identifier generated by banks using the Core Banking Solution (CBS). It is assigned to each unclaimed account or deposit transferred to the Depositor Education Awareness (DEA) Fund of the RBI. The number ensures that neither the account holder nor the bank branch maintaining the account can be identified by any third party.

What are the Documents Required to be Submitted for Processing the Claim?

a. Claim Form:

a). Self-attested true copy of any of the following Officially valid documents (OVDs) as

a proof of identity:

I. Aadhaar

II. Driving License

III. NREGA Card

IV. National Population Registry Letter

V. Passport

VI. Voter ID Card issued by Election commission of India

b). ID Number of the Officially Valid Document (OVD) provided as proof of identity.

c). Other details:

I. Bank Account Number

II. Type of Bank Account Number-SB/CA/CC/OD

III. Account Name/Title

IV. Name of the Bank

V. Branch Name and Address

VI. IFSC code

B. Cancelled cheque or passbook for the destination account in case of transfer

request to another Bank account.

C. A complete set of KYC documents, i.e., ID proof, address proof and latest photograph.

Where Should the Claim Form to be Submitted?

The claim form to be submitted at branch along with complete documentation.

Who can Claim the Balance Transferred to RBI DEA?

An ETB (existing to bank) customer or nominee/legal heir in the case of a deceased customer

(as per Bank’s Death Claim Process) can claim the balance transferred to RBI DEAF.

What is the TAT (Turn Around Time) for the processing of claim payment?

Turn Around Time is T +1 (T refers to Today, the date of receiving complete claim form along

with required documents).