How States Are Using Automation to Return Unclaimed Property Faster

Every year, millions of Americans unknowingly leave money behind in the form of unclaimed property—old bank accounts, uncashed checks, insurance payments, and more.

To streamline the process of returning these funds, states across the U.S. are leveraging automation to reconnect people with their lost assets faster and more efficiently than ever before.

Unclaimed Property Day Is February 1^st

Recognized on February 1^st, Unclaimed Property Day serves as an important reminder for individuals to check if they have funds waiting to be claimed. According to the National Association of Unclaimed Property Administrators (NAUPA), 1 out of 7 people has unclaimed property. Fortunately, advancements in automation are making it easier for states to reunite individuals with their money.

What Exactly Is Unclaimed Property?

Unclaimed (or abandoned) property refers to assets held by financial institutions or businesses that have had no activity or contact with the owner for an extended period, known as the dormancy period. Once this period expires, companies must turn over the unclaimed property to the state, which then holds it until the rightful owner claims it.

Types of Unclaimed Property

Unclaimed property can be tangible (such as the contents of a safe deposit box) or intangible (such as uncashed paychecks or stocks).

Common forms of unclaimed property include:

• Checking and/or savings accounts
• Stocks and dividends
• Uncashed paychecks
• Refunds and rebates
• Trust distributions
• Unredeemed gift certificates (in some states)
• Customer overpayments
• Utility security deposits
• Life insurance policies and annuities
• Safe deposit box contents

How States Are Using Automation to Return Unclaimed Property

State treasuries and unclaimed property administrators have embraced technology to make it easier for owners to reclaim their lost funds.

Here are some of the ways automation is enhancing these efforts:

• Official Government Websites: Many states offer free online databases for people to search and claim unclaimed property without any fees.
• Public Data Cross-Checking: Automated systems can cross-reference public databases to locate rightful owners proactively.
• Outreach Events: States may host events at fairs, shopping malls, and festivals to allow residents to check for unclaimed property.

Pennsylvania’s Money Match Program: A Game Changer

Some states have already seen success with automation. Pennsylvania was one of the first states to modernize unclaimed property returns with the launch of the Money Match program. This initiative automatically returns unclaimed property to residents without requiring them to file claims.

In its first week, more than 8,000 Pennsylvanians received notification letters advising that, within two months, checks totaling over $2 million would be distributed.

Here’s how Pennsylvania’s Money Match program works:

1. The program applies to single-owner properties valued at up to $500.
2. After verification, eligible recipients receive notification letters.
3. Checks are mailed approximately 45 days after notification.

The Pennsylvania Treasury holds thousands of properties, and additional assets are routinely added to the Money Match initiative. Since larger claims still require manual filing, the public is encouraged to periodically search the treasurer’s website.

The Future of Unclaimed Property Programs

As automation continues to evolve, more states are expected to adopt similar initiatives. These efforts not only reduce the burden on individuals to manually search for lost funds but also improve efficiency in returning money to rightful owners.

Returning assets to rightful owners can be surprisingly difficult for a state. Harnessing new automation tools to strong public policy goals can help overcome hurdles.

Digital tools help states and rightful owners track, process, and reclaim property efficiently. Agencies benefit from powerful reporting, while individuals quickly reconnect with their lost assets, helping ensure smooth and compliant operations.

From reporting to payment, Neumo’s Unclaimed Property solution makes managing unclaimed property easy.

With billions of dollars in unclaimed property still waiting to be claimed, automation is proving to be a powerful tool in helping Americans reclaim what is rightfully theirs.