Frequently, we are be asked by claimants, “Why do I need to put my social security number (SSN) on the claim documentation?”
The days of stashing money in a savings account and not thinking about it for years has ended. The treasuries and unclaimed property departments of US States, under mounting financial strain, have leveraged increasingly aggressive tactics to seek out and reap potentially unclaimed assets as a remedy to decreased federal funding and dwindling tax revenues. And unmonitored accounts, opened with long term intentions, are more at risk than ever of being abandoned to the state due to alleged inactivity.
Article posted in the Lancaster, PA newspaper.
...stacks of paperwork or the two years of frustration and expense...put into getting back what was already rightfully theirs.
When the state receives hundreds of millions of dollars in "unclaimed" property each year, the money is promptly put into the general fund, Historically, only about half the account holders will successfully claim their money, allowing the government to have a cash flow of unclaimed money to use.
Pa couldn't balance its budget, so it just changed the law to shorten dormancy periods and allow more of its citizens money to be abandoned to the State. Even worse, by law, the state It is not obligated to pay out dividends or interest accrued during the time it holds the assets.
It took in $625 million this fiscal year, which is nearly 3 times the previous years rake.
The State declares this action a consumer protection law. Then they go ahead and use $625 million interest free for perpetuity.
You can read more here:
http://lancasteronline.com/news/local/state-balances-budget-on-unclaimed-property/article_6474842a-033e-11e5-bcb0-0f5ba23d2daf.html
One in four Texans has unclaimed property from forgotten bank accounts, uncashed checks, security deposits and utility refunds. There is currently about $3.4 billion in property that has not been claimed, and approximately $586 million in shared property that has been partially claimed and paid to some of the owners. It’s never too late to make a claim.
California’s potential liability for unclaimed property currently exceeds $7 billion. However, state officials estimate the actual liability is around $850 million because some of the assets are untraceable or because the owners may have died or moved to another state, reducing the likelihood of a claim being filed, the report stated.
Read the full article at the link below -
http://www.latimes.com/local/political/la-me-ln-unclaimed-property-program-has-conflict-needs-improvement-state-report-says-20150210-story.html
Clark County residents looking for a little extra holiday cash might try checking the state treasurer’s website for unclaimed property.
A SmartAsset.com study shows there is just more than $677 million being held for Clark County residents. That’s the sixth-highest total for any county in the United States.
Unclaimed property includes various categories of assets, from orphaned 401(k) accounts to payroll checks that never found their way to the rightful owner.
Legally, the state must try to reunite residents with their property. But when the trail is cold, states rely on residents to help out by checking for their property.
Los Angeles leads the nation with $3.887 billion in unclaimed property, SmartAsset.com said. Three other counties — New York County; Cook County (Chicago); and Harris County (Houston) — topped $1 billion.
http://www.reviewjournal.com/business/business-press/unclaimed-property-tops-677-million
"Both state insurance regulators and corporate treasurers “are moving away” from enforcement actions against insurers, i.e., imposing huge fines and dictates on use of the Social Security Death Master File (DMF), on unclaimed property issues, a lawyer and former insurance commissioner says...
That period, dating from 2009, saw enforcement actions by state insurance regulators based on allegations that use of the DMF “asymmetrically,” that is, its use by insurers only to determine if someone has died in order to end payments under guaranty riders in variable annuity contracts constitutes a deceptive practices and mandates that insurers use the DMF frequently to determine whether a policyholder has died."
Read the entire article here:
http://www.lifehealthpro.com/2014/10/21/change-in-policy-on-unclaimed-property
