Unclaimed bank deposits hit ₹86,917 crore in RBI fund, FinMin says

Growing pile of unclaimed money

The Finance Ministry has told Parliament that unclaimed deposits in Indian banks have swelled to ₹86,917 crore, all parked with the Reserve Bank of India's Depositor Education and Awareness (DEA) Fund. The figure, disclosed in a written reply, has put the spotlight on the millions of accounts that have gone dormant over the years.

Banks are required to transfer deposits that have not been operated for 10 years or more to the DEA Fund. The money, however, remains claimable by the depositor or their legal heirs at any time.

Why deposits go unclaimed

Industry insiders point to a mix of reasons—people shifting cities without updating addresses, forgotten passbooks, deceased account holders whose families are unaware of the money, and even small balances that slip through the cracks. In many cases, the rightful owners or their successors do not come forward, either due to lack of documentation or simply because they do not know the money exists.

While the exact number of accounts behind this figure has not been disclosed, the sheer size of the amount has raised concerns about financial inclusion and the need for better mechanisms to trace depositors.

RBI's awareness push

The central bank has been running a sustained campaign—the '100 Days 100 Pays' initiative—to encourage banks to settle unclaimed deposits and reunite them with their owners. Under this programme, banks are nudged to identify and contact claimants, especially in cases of small-value deposits.

Despite these efforts, the total in the DEA Fund has continued to climb. In the past, the RBI has also released lists of unclaimed deposits on its website, urging the public to check if they or their relatives have money lying in old accounts.

What banks are doing

Banks are supposed to display the names of depositors with unclaimed balances on their own websites, but compliance has been uneven. Financial experts argue that more proactive steps are needed—such as linking accounts with Aadhaar and mobile numbers to make it easier to trace account holders.

The ministry's reply did not specify any timeline or target for reducing the pile, but it reaffirmed that the funds are safe and can be claimed anytime.

How to claim

For depositors or heirs, the process involves approaching the bank branch where the account was held, submitting the relevant documents, and completing the KYC formalities. Banks are required to verify the claim and release the money, along with applicable interest, once the paperwork is in order.

The RBI has also set up a dedicated portal—the UDGAM portal—where users can search for unclaimed deposits across multiple banks in one go. The portal was launched to make the process simpler and more transparent.

Even so, awareness remains low. Most people do not realise that unclaimed money can be recovered, and the onus often falls on the next of kin to initiate the claim.

What lies ahead

With the amount crossing the ₹86,000-crore mark, the government and the RBI are likely to face more questions on the effectiveness of their outreach. The next few quarters may see tighter rules on how banks report and handle unclaimed deposits, and possibly a renewed push to digitise records so that the money does not stay locked in a fund that was meant to be temporary.