What changed
RBI now mandates banks to proactively display unclaimed deposits/inoperative accounts (inactive for 10+ years) on their websites. Earlier circulars only required annual reviews and due diligence for activation. This adds a public disclosure layer to help locate account holders or heirs.
What it means for you
Banks must publish names and addresses of holders of accounts dormant for a decade or more, without revealing account numbers or branch details. This increases transparency and reduces the risk of unclaimed funds remaining untraced. Lenders need to update websites regularly and provide clear claim processes.
What you must do
- Identify all savings/current accounts inactive for 10 years or more as of the review date.
- Publish a searchable list on your bank's website with only account holder names and addresses by June 30, 2012.
- Include names of authorized operators for non-individual accounts, but never disclose account numbers or branch names.
- Provide clear instructions, forms, and documents on the website for claiming unclaimed deposits or reactivating accounts.
- Update the list at regular intervals and ensure operational safeguards to verify claimant genuineness.
Who it affects
All scheduled commercial banks (excluding RRBs), Customers with inoperative accounts, Legal heirs of account holders, Bank compliance and operations teams
What qualifies as an unclaimed deposit or inoperative account under this circular?
Accounts that have been inactive or inoperative for ten years or more from the date of last operation.
Can we display account numbers or branch names on the website?
No. The circular explicitly prohibits disclosing account numbers, account types, and branch names. Only names and addresses of holders (and authorized operators for non-individual accounts) should be shown.
What is the deadline for compliance?
Banks must complete the display and related actions by June 30, 2012, and keep the website updated at regular intervals thereafter.