WV State Treasurer’s Guide to Unclaimed Property Due Diligence
Refer to WV Uniform Unclaimed Property Act 36-8-7(e) – Notice by holders to owners required
D
ue Diligence is more than “the law”. Due diligence is “Good Business” and “Good Customer Relations”. Due diligence letters must be mailed July 1st thru September 1st for any property valued over $50.00. This time period will allow ample opportunity for the apparent owner to claim their property. You may develop your own Due Diligence letter. It must contain the following: The steps required by the owner to claim the property; The steps required by the owner to have the holder reactivate the account and continue to maintain the property of the owner; A statement that if the owner does not take the steps set forth in the letter, the property will be remitted to the state; A statement that, the State is only a custodian for property presumed abandoned and remitted to the State, and that the owner or his or her heirs do not lose their rights to the property and may file a claim for the property with the State; A date, not less than fifteen business days prior to the date the holder will remit the property to the State, by which the owner must contact the holder, and The name, address, and telephone number of the person to contact at the holder. (You may use our sample Due Diligence letter on next page) Suggestions from the State Treasurer’s Office: Send a notice within the first year in order to prevent abandonment. If the notice is returned as undeliverable (RPO), then you are not required to mail again. Scan or file a hard copy of the mailed letters to provide the best evidence of performing due diligence in case of an audit. Scan or file the response from the appropriate owner. Designate property with bad addresses as “RPO” when filing the report. Upon failure to comply, any of these can occur: An increased risk of diminished customer relationships. An increased risk of audit.
Guides to Unclaimed Property is published by the WV State Treasurer, Audit Division. One Players Club Drive, Charleston, WV 25301 (800) 642-8687
Date Revised 7/31/07
Print on Business Letterhead that Includes Full Address (Date) (Owner Name) (Last Known Address) (City, State, Zip)
Re: (Account Info. or Check # or Property Description)
Our records indicate that no owner-initiated activity has occurred in the above referenced property since (date). Currently this account has a balance of (amount). OR Our records indicate that the above noted official check has not been presented for payment. OR Other specific language regarding the type of property. This property is classified as unclaimed property because there has been no owner initiated activity for at least (number of years) years. The West Virginia Uniform Unclaimed Property Act requires that we turn over any property that has been inactive for this time period. Your property must be reported shortly to the West Virginia State Treasurer and will be delivered to the custody of that agency at that time. Once the property is turned over, the Treasurer becomes the custodian for the property. You do not lose your rights to the property and may file a claim with the Treasurer to obtain it. However, you may claim the property or re-establish this account by signing this letter below and returning it to us by (date not less than fifteen business days prior to the date the property will be reported).
Sincerely, (Name) (Title) (Phone Number) ( ) ( ) I am aware of this property. In addition, the above address information is correct. I am aware of this property. However, please change the address to the following: ___________________________ ___________________________ ___________________________ I wish to close this account. Please send a check for the balance to the address below: ___________________________ ___________________________ ___________________________ I wish to claim this property. Please call me at the following number to coordinate its transfer. Phone #: __________________ Date _______
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Date Revised 7/31/07