RBI's Initiatives to Address Unclaimed Deposits: Key Measures and Future Directions
| Why in News | Key Points |
|---|---|
| RBI Tackles Unclaimed Deposits | Measures to resolve unclaimed deposits from inactive accounts and unclaimed term deposits. |
| UDGAM Portal Launched | Launched in August 2023 to allow users to search unclaimed deposits across multiple banks using account holder's name and bank details. |
| DEA Fund Growth | Depositor Education and Awareness (DEA) Fund grew by 26% from ₹62,224.89 crore in 2022-23 to ₹78,212.53 crore in 2023-24. |
| 100 Days 100 Pays Campaign | Launched in May 2023, extended to April 1, 2024, to settle the top 100 unclaimed deposits in each district. |
| New Regulations on Inactive Accounts | From January 2024, banks must review accounts annually and notify account holders about inactivity through various methods. |
| Banking Laws (Amendment) Bill, 2024 | Allows up to four nominees for bank deposits and locker items, establishes a hierarchy for nominations, and encourages simplification of reactivation and nomination processes to reduce inactive accounts. |
| State Bank of India (SBI) Proposal | Suggested that non-financial activities, like government payments, should keep accounts active. |