A Simple Guide to Claiming Unclaimed Dividend from the IEPF
Many shareholders are unaware that their unpaid or forgotten dividends may eventually be transferred to the Investor Education and Protection Fund (IEPF). Understanding the rules around the I EPF unclaimed dividend process can help you protect your investments and recover your dues on time. What Is an Unclaimed Dividend? A dividend becomes unclaimed when a shareholder does not encash or claim it within the stipulated time. Under Indian law, if a dividend remains unclaimed for 7 consecutive years , the company must complete the unclaimed dividend transfer to IEPF along with the related shares. This does not mean the amount is lost — but it does require a formal reclaiming process. Why Dividends Get Transferred to IEPF Dividends move to the IEPF mainly because: Shareholders change addresses and do not update records Bank accounts are closed or inactive Physical dividend warrants are lost Demat details are incomplete Investors forget small holdings over time...