Escheatment What is Escheatment (a.k.a. Unclaimed Property)?

All financial institutions must report when personal financial property¹ has been inactive or “abandoned” (specific transactions qualify, see list below) after a specified period of time (3 years in WA state, per the Unclaimed Property Act.) If an account you own has reached the inactivity requirement, and Qualstar is unable contact you after various attempts, a state authority then claims the account through a process called “escheatment,” whereby the state becomes the owner of the account.

What is Qualstar’s Escheatment Procedure?

In July of each year, Qualstar sends letters to accounts with no qualified activity in the previous three (3) years as of June 30th, to let members know the account is now eligible for escheatment on November 1st.² Those members have a deadline of October 15th to initiate qualified activity and give Qualstar sufficient time to withdraw the account from the escheatment process, which begins on October 31st.

Most of the accounts escheated at Qualstar are sent to the WA State Department of Revenue, which will accept accounts where the member’s last known address was in Washington State. Some out-of-state accounts may also be escheated this way, however Qualstar may be required to send the funds directly to the other state, depending on their laws on dormancy periods. In addition, other state agencies may have a different escheatment date.

It is also important to maintain an active account as a way of preventing fraudulent access and activity – if you are regularly interacting with your account, you will notice if unauthorized transactions have occurred on your account.

Keep Your Account Active to Prevent Escheatment!

Any of these transactions will keep your account active:

• Complete a deposit, withdrawal, or transfer on your account
• Complete a card transaction on your account
• Log in to Mobile or Home Banking and perform a transaction (transfer, check withdrawal, bill payment, check deposit, loan payment,
• Have an active loan and make current payments (including mortgage loans)
• Have activity on another Qualstar account where you are also primary or joint
• Send us a signed letter notifying us you would like to keep your account open
• Send us a signed letter to update your address
• Respond to the escheatment letter you were sent

Other Important Account Requirements

• Visa Credit Cards (with a zero balance) will be closed upon escheatment
• Share Certificates that reach maturity of the original term will become eligible for escheatment after 3 years (for example, a 36-month certificate that has rolled into another term upon maturity will become eligible for escheatment on June 30th)
• Mobile and Home Banking users who do not log-in once within a 6-month period will be considered inactive and removed from the system – re-enrollment is necessary to reinstate online access.

For more information visit: Department of Revenue Washington State

• To claim property in Washington: ClaimYourCash.org
• To claim property in another state: Unclaimed.org

¹ Dormant monetary accounts (includes certificates that have reached initial maturity and renewed) or uncashed official checks.
fn2. In Washington State, due diligence letters are required on amounts of more than $75.