Unclaimed deposits with banks rise by 28% to £4.23 bn in FY23

Information provided in Parliament by minister of state for finance stated that unclaimed deposits in banks have surged by 28% annually, reaching £4.23 billion as of March 2023. In comparison to the previous fiscal year, where unclaimed deposits amounted to £3.29 billion this increase marks a substantial rise. Public sector banks accounted for £3.61 billion of unclaimed deposits, while private sector banks held £608.7 million by the end of March 2023. Banks transfer unclaimed deposits of account holders inactive for a decade or more to the RBI's Depositor Education and Awareness (DEA) Fund. Minister of State for Finance Bhagwat K Karad stated that the RBI has implemented measures to minimise unclaimed deposits and facilitate the return of such funds to their rightful claimants in response to a written inquiry.