Context:
The Reserve Bank of India (RBI) recently launched a Centralised Web Portal, UDGAM (Unclaimed Deposits – Gateway to Access inforMation), for the public to search for their unclaimed deposits across multiple banks at one place.
Relevance:
GS III: Indian Economy
Dimensions of the Article:
- Udgam Portal
- Unclaimed Deposits
Udgam Portal
The Udgam Portal is a creation of the Reserve Bank of India (RBI) designed to assist the general public in easily locating their unclaimed deposits across various banks.
Collaboration and Development:
- The development of the Udgam Portal has been a collaborative effort involving key entities such as Reserve Bank Information Technology Pvt Ltd (ReBIT), Indian Financial Technology & Allied Services (IFTAS), and participating banks.
Features and Benefits:
- The primary purpose of the portal is to streamline the process for individuals searching for unclaimed deposits by centralizing the information from multiple banks in one place.
- Users have the option to claim their unclaimed deposit amounts or reactivate their dormant deposit accounts through the platform.
Claim Process:
- Customers can create an account on the ‘Udgam’ platform using their mobile number.
- After registration, users can search for unclaimed deposits associated with their name.
- Additional identification inputs like PAN, voter ID, driving license, and passport numbers can be provided to narrow down the search.
- Once the unclaimed deposit is identified, customers can proceed with the Know Your Customer (KYC) process at their respective bank branch to retrieve the funds.
Nominee Involvement:
- If the original deposit-holder has passed away, their nominee will be required to submit appropriate documents for the claims process.
- The Udgam Portal effectively eases the process of locating and claiming unclaimed deposits, streamlining interactions between customers and banks.
Unclaimed Deposits
- Unclaimed Deposits, as defined by the Reserve Bank of India (RBI), pertain to funds present in savings or current accounts that have shown no activity for a period of 10 years.
- For fixed deposits (FDs), unclaimed deposits are those where withdrawal has not occurred within 10 years from the date of maturity.
Inactivity Period:
- The crucial criteria for identifying unclaimed deposits is the lack of any transactions or activities within the specified timeframe.
Types of Unclaimed Deposits:
- Unclaimed deposits cover both savings and current accounts.
- Additionally, fixed deposits are considered unclaimed if they remain untouched beyond 10 years from the maturity date.
Regulatory Involvement:
- The Reserve Bank of India regulates the handling and management of unclaimed deposits in financial institutions.
- Importance of Identification:
- Identifying unclaimed deposits is crucial as these funds often belong to account holders who have lost track of their accounts or failed to carry out transactions for a substantial period.
Resolution and Retrieval:
- The introduction of platforms like the Udgam Portal by RBI aims to simplify the retrieval process for individuals with unclaimed deposits.
- Once identified, account holders can follow the appropriate procedures to claim their funds or reactivate their dormant accounts.
-Source: The Hindu
