State Treasuries Become Aware of Unclaimed Property Increase
The volume of unclaimed money and property continues to grow big and state treasuries are trying to manage this problem to the best of their capability. Most of the states are reporting a consistent upward slide in the unclaimed property graph. Every state has reported an astounding figure for the unclaimed money. In addition to the state treasuries, some of the bigger banks have also reported large numbers for the unclaimed bank balances. A recent Press Release is about half a million dollars in unclaimed money from former Washington Mutual Bank customers in Wisconsin is waiting to be claimed.
By a rough estimate from NAUPA (National Association of Unclaimed Property Administrators), almost $40 billion of unclaimed cash and property is filling the coffers of state treasuries and other agencies. These figures are expected to rise with each passing month and with each financial quarter.
State treasuries are taking every possible measure to create a viable and long-term solution for the unclosed bank accounts, returned tax refund, unremitted pension funds and other types of personal assets that have not being claimed yet. As the statutory time limit for these abandoned or unclaimed funds is reached, these funds are transferred to the respective state treasuries where they are marked as abandoned.
With over 90% of the US families having a pie in the unclaimed funds pie, almost $40 billion is yet to be disbursed to the rightful owner of these unclaimed properties. With the concern growing among the decision makers of various states, many states are starting outreach programs in collaboration with the National Association of Unclaimed Property Administrators (NAUPA), a nonprofit organization affiliated with the National Association of State Treasurers – These awareness campaigns have successfully increased the conversion rate of unclaimed property claims.
Bigger states like California and New York have a larger issue of managing the wide gap between the unclaimed funds and the lost property owners. The authorities in states like California and New York are seriously taking alternative routes handle the unclaimed funds situation. Most of these states are evaluating options of utilizing the unclaimed funds towards the state development programs.
