RBI Introduces Scheme of Inoperative Accounts and Unclaimed Deposits

1. Scheme Overview

• Name: Scheme on Facilitating Accelerated Payout - Inoperative Accounts and Unclaimed Deposits.
• Introduced by: the Reserve Bank of India (RBI).
• Purpose: This is to persuade banks to reactivate dormant accounts as well as settle unclaimed deposits, which will minimise the sum that will be transferred to Depositor Education and Awareness (DEA) Fund.
• Term: A 1 year plan between October 1, 2025, and September 30, 2026.

2. Key Features

• Coverage: All banks which have been registered by the DEA Fund Scheme are covered by it. It includes inoperative accounts with the banks and unclaimed deposits that had already been transferred to the DEA Fund.
• Eligibility: Banks are eligible in case they pay out successfully by restoring an inoperative account or paying off an unclaimed deposit between the time of the scheme.

3. Differential Payout Structure.

• The bank incentive is calculated based on the length of inactive account and there is a limit to the amount of maximum payout.
• Account Age (since becoming inoperative)    Payout (Whichever LESS)
  • Up to 4 years    5% of the amount or ₹5,000
  • 4–8 years    6% of the amount or ₹10,000
  • 8–10 years    7% of the amount or ₹15,000
  • 10 years & above    7.5% of the amount or ₹25,000

4. Process for Banks

• Claim Submission: Banks are required to file claims on a quarterly basis in a form prescribed by the law and signed by a Senior Executive and transmitted both through email and in a hard copy within a month after the end of a given quarter.
• Payout and Audit: Payouts will be paid out within 30 days after the claims have been made to the RBI. Auditing and inspection of all claims will be done.