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Unclaimed Property

The Escheatment Process

The SEC defines the Escheatment Process as the following: All states require financial institutions, including brokerage firms, to report when personal property has been abandoned or unclaimed after a period of time specified by state law — often five years. Before a brokerage account can be considered abandoned or unclaimed, the firm must make a diligent effort to try to locate the account owner. If the firm is unable to do so, and the account has remained inactive for the period of time specified by state law, the firm must report the account to the state where the account is held. The state then claims the account through a process called "escheatment," whereby the state becomes the owner of the account.

For more information visit https://www.sec.gov/fast-answers/answersescheathtm.html

What is Unclaimed Property?
Unclaimed property is any asset owned or held by an organization which has no evidence of owner activity for an extended period of time. The property qualifies as abandoned after a specific period of inactivity, which varies by state. Types of unclaimed property may include stocks, bonds, mutual funds and cash in a brokerage account, bank accounts (savings, checking, CDs), uncashed checks such as payroll, insurance payments or travelers' checks, safe deposit box contents, and insurance proceeds.

How does the account holder know if they have unclaimed property?
Please visit www.unclaimed.org to see if your state is holding any assets which belong to you. If they are, file a claim using the process in place for the state, which is available on the state’s unclaimed property website.

How do I avoid my account from being Unclaimed Property?

To avoid the assets from being deemed Unclaimed Property the account holder must show activity on the account. Simply logging into the account counts as activity. Account holders can also call us at 1-800-747-2537.