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What Is Dormant Account, How To Save It?

Almost everyone of us has a bank account. There are plenty of reasons why people get bank accounts opened, like for depositing account payee cheques, for transferring money to another account and most of us also receive our salaries in our respective bank accounts.

But what happens most of the times is that we open a bank account for a specific reason and when that purpose is fulfilled, we even forget that the bank account exists. If you are also one of those, then it is important for you to know that if your bank account remains inactive for some period of time then bank might declare your account as dormant or inactive.

Dormant Account

How An Account Becomes Dormant?

If you do not make any withdrawal from your account for 1 year (12 months) then your account will become Inactive, and then you will not be able to withdraw money from it (by any means like ATM, Cheque or any other way). You will, however, be able to deposit money in your account without any problem.

If for next 1 year after that (total 2 years), you don’t make any withdrawal then your account will be declared as Dormant and you will not be able to make any transaction from your account.

What To Do If Account Is Inactive Or Has Been Declared As Dormant ?

For Inactive Account

If your account is inactive, then you do not need to worry. Your account will become active within few hours. All you have to do is, make a basic banking transaction such as deposit or withdraw money. Some banks may activate it through internet banking. You may also call and ask customer care of your respective bank to get your account activated. Some banks may even require you to visit the branch with your ID proof. The bank employee will take that ID proof and verify your signature and activate your account.

For Dormant Account

If your account has been declared as dormant then you will be required to contact your bank manager and he will check whether you are that person whose account they have or not. You will have to submit an application to request the bank manager to activate your account and for verification they will send a letter to your address and ask you to come with that letter so that they can verify you are the right person.

Note: Inactive / Dormant Account activation method may differ from bank to bank. In case of queries, you may always call the customer care of your bank for support. Yet, it is better to keep yourself away from this trouble and the key for the same is to keep making transactions in your bank account from time to time.

Also Read: Credit Card Do’s And Don’ts: How To Use Credit Card Wisely


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