Escheatment Key Terms

Learn escheatment key terms to find out if you're entitled to unclaimed property

By J. Simonetta

Escheatment is the process by which lost or unclaimed property is turned over to the government. Escheatment can happen in a variety of ways: when someone dies without relatives or a will, when someone abandons property, when property is lost, or when someone fails to claim money or property that is rightfully theirs. Whether you're in an escheatment situation or not, it's a good idea to know some escheatment key terms.

Escheatment

Escheatment is the legal transference of property from private citizens or organizations to the state for safekeeping. Some states have time limits on how long property is held.
Try: The U.S. Securities and Exchange Commission defines and discusses basic escheatment guidelines.

Unclaimed property

When people leave a job without their last paycheck, forget to claim their utilities or cable deposit, or die without a will or relatives, their assets and property are said to be unclaimed.
Try: Check out the Texas Comptroller of Public Accounts for more information about unclaimed property. Although unclaimed property is held indefinitely in Texas, other states have time limits.

National Association of Unclaimed Property Administrators

The National Association of Unclaimed Property Administrators (NAUPA) is a nationwide organization of government officials whose job deals with administering unclaimed property.
Try: Visit the National Association of Unclaimed Property Administrators for more information about the organization and its operations.

Finding and claiming

If you become aware that you're entitled to unclaimed property that has gone through escheatment, you can take steps to claim it. State unclaimed property laws vary, but generally all you need to do is fill out a form and prove your identity.
Try: MissingMoney.com allows people to search almost every state in the country for unclaimed property.

Reporting

If you're a business owner, you need to be aware of unclaimed property laws. If you're in possession of unclaimed property, whether a tenant left behind a deposit, an employee forgot a paycheck, or a client moved without taking assets with them, you're responsible for reporting the unclaimed property to the state.
Try: The Pennsylvania Treasury Department details reporting procedures for the state. Reporting laws vary by state, so make sure you know your own state's laws.

Unclaimed property auction

Some states and local governments hold periodic unclaimed property auctions for seized and unclaimed property.
Try: Luv2Bid.com has information about unclaimed property auctions.