What happens if money is deposited into an inactive account?

Your money can be recovered. As per RBI guidelines, a savings or current account becomes ‘inoperative’ without transactions for two years. If inoperative for 10 years, the account’s balance and interest are transferred to the Depositors’ Education and Awareness Fund, which was launched by the RBI in 2014.

Can you revive dormant bank accounts?

You can reactivate your inactive bank account by simply making a deposit or withdrawal transaction. To reactivate your dormant account, visit your home branch and provide a written request for reactivation of your account. Remember that your bank cannot charge you for reactivating the inoperative account.

How do I restart my old bank account?

Here are some steps to reactivate the dormant bank account:

1. Step 1: Visit the respective bank.
2. Step 2: Make an application to activate the dormant bank account.
3. Step 3: The account will be activated on the next business day.

How do I reactivate my bank account?

FREQUENTLY ASKED QUESTIONS

1. Please enter your valid Current/Saving Account number& submit.
2. You will get authentication to your mail id and to your mobile phone via SMS.
3. You will be asked to enter the Activation Code & submit.
4. Once valid activation code has been entered you will be taken to the next screen.

How long can a bank account remains dormant?

Dormant vs. When an account has no transactions for 12 months, it is considered inactive. If there is no activity for 24 months, it is deemed dormant. Remember, system-generated activities like interest credits don’t count.

How do I get my money back from an inactive bank account?

In a process what is called “escheating” an account, banks are required to turn over funds from the inactive account to the state treasury. Once the account is sent to the state, the funds are held as unclaimed property. To reclaim your money, you will have to contact your state for the instructions on how to get your money back.

When is a savings bank account treated as inoperative?

The Savings Bank account can be treated as inoperative account only after two years from the date of the last credit entry of the interest on fixed deposit account. Which Type of Account Is Usually the Most Liquid?

What should I do if my bank account is turned over?

Keep your address and contact information updated on your bank accounts. If you keep your address up-to-date, you’ll be less likely to miss the final notification before an account is turned over to the state. If you allow the state to escheat an account, it could take months or even years to reclaim your funds.

What happens to your EPF account after 58 years?

As per the current rules, EPFO will credit the interest on such non-contributory accounts up to the age of 58 years. After 58 years, the account will be treated as INACTIVE (but not immediately after 3 years non-contributory period). The retirement age for EPF is 55 years.