Common Terms

  • Unclaimed Property - Liabilities retained by an entity, but owed to another - interchangeable with abandoned property.
  • Dormancy Period - Period of time property remains inactive before it is presumed abandoned.
  • Holder - Entity in possession of property.
  • Owner - Individual or entity entitled to the property.
  • Due Diligence - Holder must attempt to contact owner prior to remitting property to state.

Identifying Property

  • Property type is diverse and sometimes difficult to identify.
  • Some property is the same for all industries (i.e., payroll checks, vendor checks and accounts receivable credit balances).
  • Some property differs by industry:
    • Retail - gift certificates, merchandise credits and layaways
    • Publishing - royalties
    • Utilities - deposits and refunds
    • Banks - money orders, travelers checks, CD’s, deposits
  • Gift Certificates: some states allow for the reduction off the face value of gift certificates. Usually a state will allow the reduction based on the gross margin percentage, while some states statutorily mandate a specific percentage.

Types of Unclaimed Property

  • Securities Related Property: Equity Securities and Debt Obligations
  • General Ledger Property: Salaries, Bonuses, Commissions, Gift Certificates. (See Chart for detailed information)
  • Acquisitions and Privatization: Unless specifically provided in contract, acquiring company will assume all unclaimed property liabilities.
  • Personal Property: Property in safe deposit boxes that remains unclaimed is required to be remitted to the state.
  • Real Property: Land.

Property Types by Industry

Common types of unclaimed property by Industry

  • Banks and Financial Institutions
    • Savings Accounts
    • Money Orders
    • Cashiers Checks
    • Safe Deposit Boxes
    • Retirement Accounts
    • Unidentified Deposits
    • Credit Balances arising from:
      • Liquidated mortgages
      • Consumer Loans
      • Consumer Credit Accounts
  • Healthcare and Hospitals
    • Patient Credit Balances Due to:
      • Patient
      • Primary Insurer
      • Secondary Insurer
    • Unidentified Payments from:
      • Patients
      • Insurance Companies
    • Personal Property of Patient
  • Retail Businesses
    • Gift Certificates / Gift Cards
    • Credit Memos
    • Layaways
    • Commissions
    • Merchandise Credits
    • Expense Checks
    • Seasonal Payroll Checks
    • Outstanding Vendor Checks