Reclaiming Unclaimed Financial Assets

 

1. “Your Money, Your Right” was launched in October 2025 as a nationwide awareness and facilitation initiative to help citizens identify and reclaim unclaimed financial assets.

2. The initiative is coordinated by the Department of Financial Services (DFS) under the Ministry of Finance in collaboration with major financial sector regulators and institutions.

3. It covers unclaimed assets across bank deposits, insurance proceeds, mutual fund amounts, dividends, shares, pensions, and retirement-related financial benefits held in the regulated system.

4. Indian banks together hold around ₹78,000 crore in unclaimed deposits, showing the largest segment within the broader pool of unclaimed household financial savings.

5. Unclaimed insurance policy proceeds are estimated at nearly ₹14,000 crore, reflecting a major volume of unpaid benefits still lying within the formal insurance framework.

6. Unclaimed amounts in mutual funds are estimated at about ₹3,000 crore, while unclaimed dividends account for nearly ₹9,000 crore across the financial system.

7. Bank deposits become unclaimed when savings, current, fixed, or recurring deposit accounts remain inoperative or unclaimed for ten years or more.

8. Unclaimed bank deposits after ten years are transferred to the Depositor Education and Awareness Fund (DEA Fund), but ownership remains with the customer or legal heirs.

9. Insurance proceeds are treated as unclaimed when unpaid beyond twelve months from the due date and are transferred after ten years to the Senior Citizens’ Welfare Fund (SCWF).

10. Ownership rights over unclaimed insurance proceeds remain protected even after transfer, and beneficiaries can claim such amounts up to twenty-five years from the transfer date.

11. The initiative is supported by digital tracing platforms including UDGAM for bank deposits, Bima Bharosa for insurance, Mutual Fund Investment Tracing and Retrieval Assistant (MITRA) for mutual funds, and Investor Education and Protection Fund Authority (IEPFA) for dividends and shares.

12. Unclaimed dividends and shares are transferred to the Investor Education and Protection Fund Authority (IEPFA) after remaining unpaid or unclaimed for a continuous period of seven years.

13. The campaign was implemented as a three-month nationwide drive from October to December 2025 under a 3A framework of Awareness, Accessibility, and Action.

14. From October to 19 December 2025, facilitation camps were organised in 668 districts with participation from district administrations, banks, insurers, and other financial institutions.

15. Through coordinated efforts of government departments, regulators, and financial institutions, nearly ₹2,000 crore was returned to rightful owners during the campaign period.

Must Know Terms :

1. UDGAM

Unclaimed Deposits – Gateway to Access inforMation (UDGAM) is the Reserve Bank of India’s central search portal for tracing unclaimed bank deposits across participating banks. It helps users identify where such deposits exist, though claim settlement is done by the concerned bank. Deposits remaining unclaimed for ten years are transferred to the Depositor Education and Awareness Fund, but ownership remains with the depositor or legal heirs without any claim deadline.

2.MITRA

Mutual Fund Investment Tracing and Retrieval Assistant (MITRA) is hosted on MF Central and helps investors trace unclaimed or inactive mutual fund investments. It can identify funds using prescribed search details, after which investors must contact the relevant Asset Management Company (AMC) or Registrar and Transfer Agent (RTA). Mutual fund folios are treated as inactive when no transaction occurs for ten years.

3.IEPFA

Investor Education and Protection Fund Authority (IEPFA) receives unclaimed dividends and shares from companies after they remain unpaid or unclaimed for a continuous period of seven years. Its portal provides a search facility using details such as Permanent Account Number (PAN), company name, demat identification, or folio number. There is no charge for filing a refund claim and no fixed claim deadline.

4.SCWF

Senior Citizens’ Welfare Fund (SCWF) receives unclaimed insurance proceeds that remain unpaid for more than ten years after first becoming unclaimed. Insurance amounts become unclaimed when unpaid beyond twelve months from the due date. Transfer to SCWF does not end ownership rights. Policyholders, nominees, or legal heirs can still claim the amount, with rights continuing up to twenty-five years from transfer.

5.DEA

Depositor Education and Awareness Fund (DEA Fund) receives bank deposits that remain unclaimed for ten years or more. The transfer happens from banks, but the money still legally belongs to the customer or legal heirs. There is no time limit for claiming such deposits after transfer. The related search facility helps people identify balances before approaching the concerned bank for settlement.

6.Folio

Folio is the unique identification number given by a mutual fund institution to an investor for tracking holdings in a scheme. It is used to identify investments, statement records, and claim-linked details. In the context of unclaimed assets, folio numbers become important for tracing inactive or unclaimed mutual fund investments through Mutual Fund Investment Tracing and Retrieval Assistant (MITRA) and for completing retrieval.

Key Takeaways

 

a) “आपकी पूंजी, आपका अधिकार” – Your Money, Your Right is a nationwide awareness and facilitation initiative to help citizens identify and reclaim unclaimed financial assets.

b) The initiative addresses unclaimed savings across banks, insurance, mutual funds, dividends, shares and retirement benefits held within the regulated financial system.

c) Coordinated by the Department of Financial Services with financial sector regulators, the campaign combines digital portals with district-level facilitation.

d) Through coordinated efforts of Government departments, regulators and financial institutions, nearly ₹2,000 crore has been returned to rightful owners.

MCQ

1. “Your Money, Your Right” was launched as a nationwide awareness and facilitation initiative in:
A) July 2025
B) October 2025
C) December 2025
D) January 2026

2. The “Your Money, Your Right” initiative is coordinated by:
A) Department of Expenditure
B) Department of Revenue
C) Department of Financial Services
D) Department of Economic Affairs

3. Around how much unclaimed money is held by Indian banks in deposits?
A) ₹68,000 crore
B) ₹78,000 crore
C) ₹88,000 crore
D) ₹98,000 crore

4. Unclaimed insurance policy proceeds in India are estimated at nearly:
A) ₹10,000 crore
B) ₹12,000 crore
C) ₹14,000 crore
D) ₹16,000 crore

5. Unclaimed amounts in mutual funds are estimated at about:
A) ₹2,000 crore
B) ₹3,000 crore
C) ₹4,000 crore
D) ₹5,000 crore

6. Unclaimed dividends account for nearly:
A) ₹7,000 crore
B) ₹8,000 crore
C) ₹9,000 crore
D) ₹10,000 crore

7. Bank deposits are generally treated as unclaimed after remaining inoperative or unclaimed for:
A) 5 years
B) 7 years
C) 10 years
D) 12 years

8. Unclaimed bank deposits after ten years are transferred to:
A) Senior Citizens’ Welfare Fund
B) Investor Education and Protection Fund Authority
C) Depositor Education and Awareness Fund
D) Consolidated Fund of India

9. Insurance proceeds are treated as unclaimed when they remain unpaid beyond:
A) 6 months from due date
B) 12 months from due date
C) 18 months from due date
D) 24 months from due date

10. Unclaimed insurance proceeds remaining unpaid for more than ten years are transferred to:
A) Depositor Education and Awareness Fund
B) Investor Education and Protection Fund Authority
C) Public Account of India
D) Senior Citizens’ Welfare Fund

11. Which portal helps trace unclaimed bank deposits?
A) Bima Bharosa
B) UDGAM
C) MITRA
D) IEPFA

12. Mutual Fund Investment Tracing and Retrieval Assistant is known as:
A) MITRA
B) UDGAM
C) SCWF
D) FOLIO

13. Unclaimed dividends and shares are transferred to IEPFA after remaining unpaid or unclaimed for a continuous period of:
A) 5 years
B) 6 years
C) 7 years
D) 10 years

14. The nationwide campaign was implemented from October to December 2025 under which framework?
A) 4A Framework
B) 3T Framework
C) 3A Framework
D) 5S Framework

15. From October to 19 December 2025, facilitation camps under the initiative were organised in:
A) 568 districts
B) 618 districts
C) 668 districts
D) 718 districts