HOW TO DEAL WITH DORMANT FCRA BANK ACCOUNT?

Respected Sir/Madam.

Our NGO Chaitantya rural development social service society,Kurnool. our NGO Functioning since 1995 at Kurnool District . We are working nearly 12 Mandals . OUR Society fcra account Opened in Indian overseas bank . FCRA Account opened in 2009 Deposited 1000/- FCRA Sanctioned 2009. But Bank Manger closed our society bank account in sufficient balance purpose . no foreign projects sanctioned. But present otf projects sanctioned bank account not functiong the amount go back . please give solution another bank account how can add fcra

Kalluru Raja

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4 Responses to HOW TO DEAL WITH DORMANT FCRA BANK ACCOUNT?

  1. Subhash Mittal says:

    I understand that these are the kind of practical problems that many rural based NGOs face. This is infact quite a common problem that many NGOs face, since any bank accounts which do not have withdrawal continuously for more than 12 months automatically become dormant and only way they can be made operational again is by making at least one transaction of a withdrawal.

    Only solution is that if you are not receiving any FCRA funds, then deposit some small amount of fund and withdraw exactly the same amount. While it is strictly not a correct procedure under FCRA law, since you are depositing local fund, however please if possible get a letter from bank that if you do not operate the bank it will become dormant, to inform FCRA Dept, if they ever ask you why this transaction took place. Wisj you good luck.

  2. Dr. Onkar Sharma says:

    Losing of bank account of Mr. Kalluru Raja due to insufficient bank balance is not morally right for the bank. NGO’s must keep a bank A/c to receive donations and grants. They have no control on timings of such funds to be received. A social care may not killed.

    with regards,

    Thanking you,

    Dr. Onkar Sharma,
    General Secretary

  3. Yes contact to manager. Then the bank will want again the KYC form of all signatories to be filled with necessary documents like copies of PAN card, Trust Deed, photos of signatories, and address proof. To avoid to getting the bank account dormant, withdraw money in every six month in small volume. You can deposit the balance of cash in hand which is withdrawn from FC account.

  4. Tom says:

    Should speak to the manager and deposit the minimum amount required for the fcra account to be functional. Request donor to send money again and withdraw the amount deposited. If Rs 1000 is kept in SB account bank deducts an amount every year and the balance may be less than Rs 1000 and hence the bank may have transferred it to the dormant accounts category.

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