The Reserve Bank of India (RBI) plays a crucial role in safeguarding the interests of depositors and ensuring the stability of the Indian banking system. In line with this objective, the RBI introduced the “Depositor Education and Awareness Fund Scheme, 2014,” a forward-thinking initiative to address unclaimed deposits and promote depositor awareness.
Allocation of Funds to Reimburse Unclaimed Deposits
The “Depositor Education and Awareness Fund” (DEA Fund) has proven to be a significant step in dealing with unclaimed deposits. According to recent data, the RBI has allocated an impressive sum of Rs 5,729 crore from the DEA Fund to banks for the reimbursement of unclaimed deposits. This move ensures that the rightful claimants of these deposits are duly repaid, fostering depositor confidence and trust in the banking system.
RBI’s Guidelines for Unclaimed Deposits
The RBI issued the “Depositor Education and Awareness Fund Scheme, 2014,” which provides comprehensive guidelines regarding unclaimed deposits and the utilization of the DEA Fund. The scheme aims to promote the interests of depositors and other designated purposes specified by the RBI. By formulating a structured approach to managing unclaimed deposits, the RBI ensures greater accountability and transparency.
Steps to Reduce Unclaimed Deposits
RBI has taken proactive measures to reduce the quantum of unclaimed deposits and expedite their return to rightful claimants. These steps include:
- Displaying the List of Inactive/Inoperative Unclaimed Deposits: Banks now showcase the list of inactive or inoperative unclaimed deposits that are ten years or older on their websites. This measure assists individuals in identifying and claiming their unclaimed deposits.
- Locating Customers and Legal Heirs: RBI has been proactive in locating customers and their legal heirs to ensure the rightful return of unclaimed deposits. This initiative helps bridge the gap between depositors and their unclaimed funds.
- Board-Approved Policy on Unclaimed Deposits: Banks are now required to implement a board-approved policy on the classification of unclaimed deposits. This ensures a systematic approach to managing such funds and mitigates potential risks.
- Grievance Redressal Mechanism: To address complaints and concerns related to unclaimed deposit accounts, RBI has established a grievance redressal mechanism. This fosters better communication and transparency between banks and customers.
Centralized Web Portal for Unclaimed Deposits
To facilitate the public’s search for unclaimed deposits across multiple banks, RBI is all set to launch a centralized web portal. This innovative platform streamlines the process of locating and claiming unclaimed deposits, making it easier for depositors to access their funds. The portal enhances transparency and efficiency, reducing the time and effort required to retrieve unclaimed deposits.
“100 Days 100 Pays” Campaign
As part of an ambitious initiative, RBI launched the “100 Days 100 Pays” campaign. The primary objective is to trace and settle the top 100 unclaimed deposits of each bank in every district of the country within 100 days. The campaign, scheduled from June 1, 2023, to September 8, 2023, showcases RBI’s commitment to resolving unclaimed deposits promptly and efficiently.
