₹2 Lakh Crore Unclaimed in India: Could Some of It Be Yours?

Did you know nearly ₹2 lakh crore is lying unclaimed in India’s financial system? This includes money left behind in bank accounts, post office savings, insurance policies, EPF (Employees’ Provident Fund), mutual funds, and stock market investments. This money was earned over the years of hard work, but many families don’t even know it exists.

Why Is It So Hard to Claim?

Most people can’t claim these funds simply because they don’t know they exist. Searching by name is not allowed in many systems, making it almost impossible to find unclaimed money unless you already know about it. This leads to large amounts of wealth being forgotten, especially after the original holder’s death.

IEPF: The Custodian of Unclaimed Shares

For stock market investments, over ₹84,000 crore worth of unclaimed shares are stuck with the Investor Education and Protection Fund (IEPF), a government body under the Ministry of Corporate Affairs. If a company’s dividend remains unclaimed for 7 years or more, both the dividend and shares are transferred to IEPF. Legal heirs can claim them, but only with proper documentation.

Read More, Retirement Planning: How Much Should You Save at 50 to Retire by 60 in India? 

The Scale of the Problem

Here’s how much unclaimed money is lying across different financial sectors:

• IEPF (unclaimed shares): ₹84,393 crore

• Dividends with IEPF: ₹5,700 crore

• Unclaimed bank deposits: ₹42,270 crore

• Unclaimed post office deposits: ₹32,273 crore

• Inactive EPF accounts: ₹8,500+ crore

• Unclaimed life insurance funds: ₹20,062 crore

• Unclaimed mutual fund assets: ₹2,600+ crore

The Main Challenge: Lack of Awareness

The biggest issue is not fraud — it’s that people are unaware they’re entitled to these funds. There’s no easy way to search if something is left in your name unless you already have details. In many cases, family members don’t even know that an investment exists.

Proposed Solution: CUPA

To fix this, experts have suggested forming a Central Unclaimed Property Authority (CUPA). This would be a single government body to track all unclaimed money from banks, insurance, PF, mutual funds, and shares. It would also allow people to search for assets in their name easily — something that’s not currently possible in most places.

Even the Supreme Court has recommended forming such an authority, but it faces hurdles due to multiple regulators and different sets of rules.

Global Examples

India can learn from other countries:

• USA: Each state has a public website where you can check if any property is in your name.

• UK: The government itself handles unclaimed funds and spreads awareness about how to claim them.

What Needs to Be Done Next

Here are a few key steps to fix the issue in India:

• Set up CUPA to manage unclaimed money centrally.

• Create a search portal where people can look up by name.

• Run awareness campaigns so that families know what to check.

• Simplify the claim process so that anyone can follow it, even without legal help.

Conclusion

If these steps are taken, it could help millions of families across India recover money their loved ones left behind — bringing both financial relief and emotional closure. It’s time to reconnect people with their forgotten wealth.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.               

Investments in securities market are subject to market risks, read all the related documents carefully before investing.