Govt Launches Nationwide Drive to Return Unclaimed Deposits, Dividends & Policies
In a major push to reconnect citizens with their unclaimed financial assets, the central government is launching a nationwide campaign across 500 districts. This initiative aims to return dormant bank deposits, unpaid dividends, lapsed insurance policies, unclaimed pension funds, and more to their rightful owners, marking a crucial step towards financial inclusion and citizen-centric governance.
Unclaimed Assets Drive
The initiative was backed at the highest policy level and will involve dedicated outreach camps in district headquarters. These camps are designed to help individuals identify and claim their long-forgotten financial holdings while promoting awareness about institutional claim processes.
Unified KYC to Simplify Claims
At the heart of this initiative is the introduction of a centralised, unified Know Your Customer (KYC) system. Multiple regulators—RBI, SEBI, IRDAI, PFRDA, and the Ministry of Corporate Affairs—are coordinating to adopt a common KYC framework. This will eliminate the current need for customers to repeatedly submit similar documentation across financial institutions. The standardised KYC system is expected to go live by the end of the 2025–26 fiscal year.
Digital Tools and On-Ground Action
Efforts to make the process citizen-friendly include the use of digital tools like Video-KYC and the deployment of business correspondents for rural outreach. The ongoing “100 Days – 100 Pays” initiative, launched on June 1, is directing banks to identify and return the top 100 unclaimed deposits in every district.
Additionally, a new digital portal—UDGAM—is in development, which will allow citizens to search for and initiate claims for unclaimed deposits across banks. Meanwhile, investor outreach events called “Niveshak Shivir” are being organised in collaboration with SEBI and the Investor Education and Protection Fund Authority (IEPFA) to help individuals claim unredeemed dividends and shares that have remained inactive for over six years. The first such Shivir was held in Pune and provided on-the-spot KYC updates and resolution support.
Why This Matters
Currently, India has over ₹78,000 crore locked in unclaimed bank deposits, with additional billions in insurance payouts, pension funds, and dividends. The scale of this dormant wealth makes this initiative not only a fiscal reform but a moral one—returning what belongs to citizens and reducing bureaucratic hurdles.
Benefits for Stakeholders
- For individuals: Easier, faster access to forgotten or neglected financial holdings
- For financial institutions: Improved data quality, streamlined compliance, and reduced risk of fraud
- For the government: Progress in transparency, digital governance, and citizen trust
The Road Ahead
Over the coming months, the initiative will scale across India through phased KYC unification, expanded digital access via UDGAM, and recurring Niveshak Shivirs in urban and semi-urban centers. With robust regulatory coordination and citizen participation, the campaign aims to return substantial wealth to its rightful owners and reinforce public confidence in India’s financial architecture.
