What happens if money is sent to a dormant account?
The bank turns the account over to the state.
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..
How do I activate an inactive bank account?
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.
What if I send money to a closed account?
If you send one to a closed account then it will be automatically rejected and the funds returned to your account. This is because all standing orders are sent via the Faster Payments system which detects closed accounts.
What happens if bank account is inactive?
An inactive or dormant account with a bank is termed an inoperative account. An account becomes inoperative if there are no transactions in the account for a period of over two years. Once the account becomes inoperative, the account holder cannot transact in the account.
How long before a bank account becomes inactive?
12 monthsWhen do bank accounts become inactive/dormant? When you don’t transact through a bank account for more than 12 months, that account gets classified as an inactive account. If that particular account does not witness any transaction for another 12 months, it is further reclassified as dormant account.
Can we transfer money to inactive account?
One can activate an inactive bank account by doing basic banking activities such as cash withdrawal or deposit, funds transfer or bill payment. … You can even call the customer care or contact the bank branch. In case of a dormant account, you may have to submit a written request along with identity proof.