2.2 Million Dormant Bank Accounts Transferred to TMSF in Turkey

Millions of dormant bank accounts in Türkiye have officially been transferred to the Savings Deposit Insurance Fund (TMSF) after lying inactive for over a decade. By the end of 2024, approximately 2.2 million accounts were handed over, amounting to a total of 732.1 million Turkish lira in assets.

According to current legislation, deposits, participation funds, trusts, and receivables that remain untouched for 10 consecutive years are considered expired. Once this period ends, the funds are listed on both the banks’ and TMSF’s official websites for four months starting in February each year. If no claim is made by the following June, the balances are transferred to TMSF as state revenue.

How the Transfers Work

In 2024, the accounts in question dated back to 2014, marking ten years without any transactions. Account holders or their heirs were given until June 15, 2024 to reclaim their balances. For those who did not take action, the money was automatically absorbed into the fund.

TMSF officials emphasize that this system is not new but part of a long-standing regulation designed to consolidate unclaimed assets. Despite being regularly announced, millions of account holders still fail to reclaim their money before the deadline.

Breakdown of Transferred Funds

The total value of the expired accounts as of December 31, 2024, was 732,080,374 TL. The transfer included not only Turkish lira but also foreign currencies and even precious metals:

• 172.9 million TL in cash deposits

• 4.7 million U.S. dollars

• 6.5 million euros

• 339,000 Swiss francs

• 241,000 British pounds

• Gold valued at 714,000 U.S. dollars

This diverse distribution highlights the scale of dormant wealth sitting unclaimed in Türkiye’s banking system.

Millions of Accounts Affected

The 2024 transfers involved 2,226,269 separate accounts, illustrating just how widespread forgotten balances are. In some cases, these may be small savings accounts overlooked by individuals; in others, they could belong to deceased persons whose heirs are unaware of the funds.

Similar transfers have taken place in previous years:

• In 2015, 330,000 accounts worth 64 million lira were moved to TMSF.

• In 2020, 1,044,000 accounts totaling 217 million lira were absorbed.

• In 2024, before the latest round, 1.67 million accounts worth 506 million lira were transferred.

The trend shows a sharp increase over time, reflecting both growing numbers of inactive accounts and rising balances left unclaimed.

Why Do Accounts Go Dormant?

Financial experts point to several reasons why so many accounts become inactive:

• Neglect of small deposits: Many people open accounts, deposit a small amount, and forget about them.

• Inheritance issues: Heirs may not be aware of accounts belonging to deceased relatives.

• Migration and relocation: Citizens who move abroad may leave accounts dormant without transferring or closing them.

• Lack of awareness: Despite yearly announcements, many people remain unaware of the deadlines and rules.

In practice, most dormant accounts contain modest balances, but collectively, they represent significant sums when accumulated over millions of accounts.

Legal Framework and Public Reminders

Under banking law, financial institutions are required to publicize lists of dormant accounts starting each February. These lists remain accessible until June, giving account holders ample time to make claims. Banks also send notifications to registered addresses where possible.

If no claim is made, the money is irreversibly transferred to TMSF. This means that once the deadline passes, neither the original account holder nor their heirs can retrieve the funds.

Authorities stress that anyone who suspects they may have an old account should check both their bank’s website and the TMSF’s official portal during the announcement period.

Broader Implications

The steady rise in dormant accounts has sparked debates about financial literacy and inheritance practices in Türkiye. Some experts argue that better digital tracking tools, awareness campaigns, and inheritance law reforms could reduce the number of unclaimed balances.

At the same time, the accumulation of unclaimed funds provides the state with a non-tax revenue stream, strengthening TMSF’s role not only as a safety net for the banking system but also as a beneficiary of dormant wealth.

Billions Forgotten, Millions Lost

The 2024 transfer of 732 million lira from 2.2 million dormant accounts underscores the importance of financial vigilance. For individuals, it is a reminder to monitor bank balances regularly and ensure heirs are aware of existing accounts. For policymakers, it raises questions about whether more should be done to prevent citizens’ money from silently vanishing into state coffers.

Unless awareness improves, millions more accounts may face the same fate in the years ahead.