Unclaimed property laws require holders to report and remit property that has remained unclaimed by its owner for a statutory dormancy period. Financial institutions are among the largest holders.
Dormancy periods vary by property type and state — deposit accounts, cashier’s checks, money orders, safe deposit contents and securities each have their own.
Owner contact. Dormancy typically runs from the last owner-generated activity, not from the institution’s own postings of interest or fees. Automated interest credits do not restart the clock in most states.
Due diligence letters to the last known address are required before reporting, within a window before the filing deadline.
Reporting and remittance. Annual reports to each relevant state, with property delivered. The state of the owner’s last known address has the primary claim; the holder’s state of incorporation takes property with no known address.
Fees and interest. Many states restrict charging dormancy fees or ceasing interest unless disclosed and uniformly applied.
Audits are frequently conducted by contingency-fee firms across multiple states at once, and reach back many years using estimation where records are incomplete. Retaining records beyond the audit look-back is the practical defence.
Safe deposit boxes carry their own drilling, inventory and notice procedures that must be followed precisely.