DEAF Account

It often happens that people don’t share even the basic financial details with their family members. In case of any untoward incident, the family members are left in the lurch as they are unaware of any financial details of the deceased person. Many people also fail to keep track of their multiple banks accounts as they change jobs or move to different cities .

There is a large amount of money lying unclaimed in such accounts. As on 31 March 2019, close to ₹25,000 crore was lying in Depositors Education and Awareness Fund (DEAF), a fund launched by the Reserve Bank of India (RBI) in 2014 for banks to park such unclaimed money. It was close to ₹7,875 crore as of March 2015.

The money transferred to the fund by various banks is invested in instruments such as government securities by a committee set up by the RBI. The income thus earned is used for paying interest on the deposits as well as using it for investor awareness and education purposes.

CLAIMING THE MONEY BACK
As per the RBI regulations, every bank is required to show the details of unclaimed accounts on the bank’s website. After checking the details on the website, you can visit the bank branch with a duly filled claim form, receipts of the deposits and know your customer (KYC) documents to claim the money.

“If you are the claimant, you need to visit the branch. Earlier, you would have had to go to the particular branch with which you had made the deposit but now with core banking, you can approach any branch.

However, if the claim is related to an old account (when digital banking was not enabled), you may face difficulties. “In those cases, it is advisable to visit your home branch".If you are the legal heir or nominee, you need to approach the bank with the deposit receipts, identity proof and a copy of the death certificate of the account holder. After verifying the genuineness of the claim, the bank will release the payment.

After the bank makes the payment to the customer, it will lodge a claim with the RBI at the end of the month to get a refund from the DEAF account.

After the customer makes the claim, the account can be revived and made operative. In case the legal heir or nominee made the claim, the bank will start the account settlement process, for which there are no charges. more  

Dear Aditi Jain, this can be handled by collating the death of person linked to Aadhar number, which can be linked to their heirs or family members which is being mentioned in the Aadhar card itself, provided Aadhar card is updated regularly without any under table dealings.
Why people hesitate to update Aadhar card or PAN Card, because of two reasons - one is of under table dealings, second is of time consumed in updating appropriately. Third factor maybe there - in avoiding people barge into your home without any reasons and being targeted. more  
Dear Aditi Jain, this can be handled by collating the death of person linked to Aadhar number, which can be linked to their heirs or family members which is being mentioned in the Aadhar card itself, provided Aadhar card is updated regularly without any under table dealings.
Why people hesitate to update Aadhar card or PAN Card, because of two reasons - one is of under table dealings, second is of time consumed in updating appropriately. Third factor maybe there - in avoiding people barge into your home without any reasons and being targeted. more  
I shall be grateful in case some one advise on how old the inoperative account could be for claiming the amount? What is the website I have to visit for knowing the details? Thanks in advance. more  
Please visit the web site of the concerned bank. You will have a link for the details. You must have the basic details like Branch name, account number, name of account holder etc, more  
Transparency is needed in every sphere of our life, to make our life simple and happy as well as of those who are associated with us. more  
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