Do you think there is any difference between inactive and dormant accounts?

Inactive account means an account had not been in use for a long time and not going to be used in the future. Dormant accounts are those which are presently not in use but it is likely that it may be used in the near future. Moreover It is depending on the individual bank's discretion. If account is not operated since 6 months, it treated as dormant account. If not operated more than one year, it treated as inoperative. In these type of accounts, credits will be allowed (ECS credit of dividend warrants etc.,) but debits not allowed till receipt of written request from the account holder/s.

Yes, both are different terms in accounting. Inactive accounts means that accounts have been closed and will not be used in future as well. While, dormant accounts are those that are not functional today but may be used in future.

Inactive account means 12 month no transaction

 

Dorment means 24 month no transaction.

Basically inactive accounts are not being used for more than one year whereas the dormant accounts are those which are not used currently but might be used in near future.

Yes indeed there is a difference, depending on the account

If you have a current or a savings bank account and have not done any transactions through it for more than 12 months, then it will be classified as an inactive account. And if you don't do any transactions from a bank account for 24 months, then it will be classified as dormant.

The main difference is :inactive accounts are inactive as a result of  conscious decision of the entity.

-If you have  a current or saved bank account  and you don't use it more than a year it's called inactive account.but if you don't use it in present but you may use it in the future it's called dormant.