Banks Unclaimed Property Compliance

Your dormant account holders could be your greatest asset

Laurel Hill's Asset Recovery Center provides banks and other financial institutions with the resources essential for a robust outreach program to unresponsive or "lost" customer accounts in compliance with the SEC17ad-17 rules. This ruling creates a challenge for the financial services industry as they must adopt a comprehensive approach for reaching out and contacting “lost” customer accounts, however when the process is performed correctly it is also an excellent opportunity to retain assets under management. 

Our experience across the spectrum of Unclaimed Property has helped us to identify various factors contributing to an accountholder becoming unresponsive. Our programs provide unique research methods and proven communication strategies, designed for maximum response rate and client retention. Laurel Hill focuses on locating these “lost” accountholders or their Legal Claimant and providing them with valuable time-saving assistance in re-establishing ownership of their account while avoiding unnecessary escheatment obligations and reputational risk to the Bank.

Customer accounts can be “lost” for a number of reasons:

  • A change of address

  • A change to the account and/or an oversight of ownership (i.e. marriage, death and/or no longer a minor)

  • Lost statements or asset information

  • Correspondence slipped through the cracks (or was simply ignored)

These “lost” customer accounts must eventually be reported to the state of domicile as abandoned property. Insurance carriers and Corporations have discovered how aggressive States are when auditing “lost” assets, resulting in massive fines being imposed. Laurel Hill’s Asset Recovery Center is a proven and effective service that can help Banks avoid increased scrutiny and audits while reconnecting with their customers. Our approach is designed to be flexible enough to support existing mechanisms already in place, or as a turn-key solution.

Some of the features of our program include:

  • Transparency of the asset and any applied fees to the “lost” customer

  • Audit and reputational Risk Mitigation for your institution

  • Retention of your existing customer accounts and their assets

  • Extensive, objective due diligence that reduces escheatment obligations

Our track record of success has shown that even after an initial search has been performed by other entities or internally, Laurel Hill may be able to contact up to 80% of the remaining “lost” account holders, keeping those accounts open and productive.

To find out how we can tailor an Unclaimed Property program to fit your exact needs contact