In order to assist in returning unclaimed deposits to the proper owner or claimants, the Reserve Bank of India (RBI) started the “100 Days 100 Pays” program. “The Reserve Bank of India announced a '100 Days 100 Pays' campaign for banks to trace and settle the top 100 unclaimed deposits of every bank in every district of the country within 100 days,” the central bank said in a statement.
Unclaimed deposits: what are they
“Unclaimed deposits” are balances in savings/current accounts that have not been used for 10 years or term deposits that have not been repaid within 10 years of the maturity date. Banks send these funds to the Reserve Bank of India's “Depositor Education and Awareness” (DEA) Fund.
How the new regulation affects unclaimed deposits
The RBI asked the general population to find and get in touch with the appropriate bank to collect their deposits. According to the RBI, this program would complement their existing efforts to lower the amount of unclaimed deposits in the banking system and restore such deposits to their legitimate owners or claimants. Beginning in June, the new regulation will be in force.
The RBI has announced the creation of a centralized online platform that would allow the public to look for unclaimed deposits across several banks. “Now, it has been decided to build a web platform to allow search across various banks for potential unclaimed deposits in order to better and extend the availability of depositors / beneficiaries to information on such unclaimed deposits. This will assist depositors and beneficiaries in recovering unclaimed funds, according to the RBI.
The Reserve Bank sometimes encourages members of the public to identify and contact the bank in question for claiming such deposits via its public awareness programs.
The entire amount of unclaimed deposits handed to the RBI by public sector banks as of February 2023, according to the Union government, was Rs 35,012 crore.
The websites of some banks must now be searched by depositors or beneficiaries in order to find unclaimed bank deposits that have been lying dormant for at least ten years.
the paperwork needed to recover unclaimed deposits
Proof of identity
Proof of address
Special term deposit receipts for term deposits
To claim the unclaimed deposits, customers must visit the respective bank and provide these documentation. The lender will start the process of releasing money from the unclaimed deposit if the paperwork is in place.