Every day assets are reallocated into the hands of the State. This article will explain what escheat is, and how to claim your money.
WHAT IS ESCHEAT?
Answer: The reversion of property to the State.
THE ESCHEATMENT PROCESS:
In the United States, each State collects “abandoned” or unclaimed funds from organizations.
Organizations (ie. banks, brokerage firms, companies) are required to report dormant accounts (even checks that have yet to be deposited) to the State.
Each respective State may specify “unclaimed asset” differently. Some States may consider monies unclaimed within 5 years as abandoned (based on inactivity reported by the company) whereas another may define these dormant funds abandoned after 3 years.
As of January 2020, New York State alone has over $13 billion in unclaimed assets!
**Important note: These funds may not necessarily be in the State you currently (or have ever) live in – it is where the account is held.
If you live abroad and have a brokerage account that was deemed inactive the funds would likely be escheated by the State where the company was organized (formed).
HOW DO I CLAIM MY MONEY?
- Visit The States’ .gov Website (GOOGLE keywords “State” + “Escheat” Example: “New York Escheat” then click on the .gov site) | Some States will link you to another site to search if you have unclaimed funds – New York State’s .gov website links you to the New York State Comptroller’s site for unclaimed funds. https://ouf.osc.state.ny.us
- Type in Your Name (or the name of your organization)
- Click Search
- If there is a match and you have unclaimed funds, follow the site’s additional instruction.
