RBI Eases Dormant Account Reactivation and Claims
In June 2025 the RBI revised its rules so customers and heirs can revive forgotten accounts with less hassle, especially seniors and rural users.
Key facts
- Inoperative account: savings or current account with no customer-induced transaction for over 2 years.
- Unclaimed deposits: balances untouched for ten years or more, moved to the Depositor Education and Awareness (DEA) Fund held by RBI.
- Earlier hurdles: compulsory home-branch visits, long paperwork for heirs and little digital support.
| Change | What it means |
|---|---|
| KYC at any branch | Not only the home branch |
| Video KYC | Banks must offer it for reactivation |
| Business correspondents | Can help with KYC in remote areas |
Expected impact
- Quicker reactivation and more convenience for elderly and rural customers.
- More claims on unclaimed deposits; stronger inclusion and trust.
Exam angle
- Dormant account threshold: 2 years; unclaimed: 10 years.
- Fund: DEA Fund maintained by RBI.