The UDGAM (Unclaimed Deposits-Gateway to Access inforMation) Portal has been developed by the Reserve Bank of India (RBI) to help depositors locate their unclaimed deposits lying in different banks through a single centralized platform.
The portal was developed in collaboration with Reserve Bank Information Technology Pvt Ltd (ReBIT), Indian Financial Technology and Allied Services, and participating banks.
What is the UDGAM Portal?
The UDGAM Portal is an online platform that enables registered users to search for unclaimed deposits and inactive accounts across multiple banks at one place. It serves as a centralized database that allows depositors to identify whether any money belonging to them remains unclaimed in the banking system.
At present, 30 banks are integrated with the portal, covering nearly 90% of the total unclaimed deposits transferred to the RBI's Depositor Education and Awareness (DEA) Fund.
The portal provides information relating to both individual and non-individual categories of deposit accounts.
Can Depositors Claim Money Through the UDGAM Portal?
The UDGAM Portal only facilitates the search of unclaimed deposits and provides details regarding the claim procedure of the concerned bank.
It does not directly settle or transfer claims. After locating an unclaimed deposit, the depositor must approach the respective bank and follow its prescribed procedure for recovery of funds.
What is the Unclaimed Deposit Reference Number (UDRN)?
After registration and a successful search on the portal, users receive an Unclaimed Deposit Reference Number (UDRN).
The UDRN is a unique identification number generated through the Core Banking Solution (CBS) of banks and assigned to every unclaimed account or deposit transferred to the DEA Fund.
This number protects depositor privacy because it does not reveal the identity of either the account holder or the branch where the account is maintained.
The UDRN also enables banks to efficiently process and settle claims submitted by depositors who have identified their accounts through the portal.
What are Unclaimed Deposits?
According to the RBI, Unclaimed Deposits refer to money lying in bank accounts that have remained inactive for a prolonged period.
In the case of Savings Accounts and Current Accounts, deposits become unclaimed when there has been no customer-initiated transaction for 10 years.
For Fixed Deposits (FDs), deposits become unclaimed when the amount remains unclaimed for 10 years after the date of maturity.
After this period, banks transfer the amount to the Depositor Education and Awareness (DEA) Fund, which is maintained by the RBI.
Depositor Education and Awareness (DEA) Fund
The DEA Fund is maintained by the RBI and receives funds from unclaimed deposits transferred by banks.
The objective of the fund is to promote financial literacy, consumer awareness, and protection of depositors' interests. Although deposits are transferred to the DEA Fund, the rightful depositor continues to retain the right to claim the money at any time through the concerned bank.
Significance of the UDGAM Portal
The UDGAM Portal improves transparency, accessibility, and ease of retrieval of unclaimed deposits. Earlier, depositors had to individually approach different banks to determine whether any inactive accounts existed in their name. The portal simplifies this process by bringing information from multiple banks onto a single platform.
It also helps reduce the volume of unclaimed deposits in the banking system and strengthens depositor protection by making information readily available to the public.
Conclusion
The UDGAM Portal is an important RBI initiative aimed at helping depositors identify and recover unclaimed deposits through a centralized digital platform. By integrating multiple banks and introducing the UDRN system, it promotes transparency, depositor awareness, and financial inclusion while ensuring that rightful owners can easily trace their inactive accounts.