Can the bank really send my grandmother's savings to the state for inactivity?
August 30, 2012 8:47 AM Subscribe
My grandmother just received a notice from her bank that if she didn't act soon, her bank account would be closed for inactivity and the money given to the state. Is this real, or a misinterpretation? Is it legal? If so, what can she do to stop this and also avoid it in the future?
posted by corb to Law & Government (25 answers total) 3 users marked this as a favorite
My grandmother is an older person and has a lot of depression-era habits. She maintains multiple savings accounts in different banks, all for different contingencies or needs. Because of this, she doesn't often deposit in them or pull the money out, sometimes for years.
I can understand banks wanting to close her account for inactivity, because they don't make as much money with someone just letting a savings account sit there, but wouldn't they send her a check at least for the money in the account? Where is this "the money will go to the state" coming from?
I haven't seen any of this correspondence, so some of it might be inflated by fear of the state confiscating money and property, which we have a family history of in the old country. I want to know exactly what's going on and what the limitations of the laws are, so I can either reassure her, or help her handle this.