The overall dollar figure is relatively low, Mayer said, because many of the claims were worth around $75. By 2022, the state had paid out just over $18 million in roughly 168,000 claims. Allen Mayer, chief of staff to Illinois State Treasurer Michael Frerichs. Illinois has been doing automatic returns since 2018, and it’s been a success, said G. Unless that letter is returned as undeliverable, the state Treasury would follow up several weeks later with a check. Here’s how it would work: Garrity’s office would verify an owner’s address, in some cases by cross-referencing other state databases, then send the person a letter telling them the state has their money. But with the average claim worth about $1,500, the bill could mean that thousands more people would get their money back each year, she said. The roughly $20 million more per year would amount to about 10% of what Pennsylvania returned in 2022.
Garrity’s proposal would result in only a modest increase in the amount of money returned, she estimated. Over the past five years, Pennsylvania has returned just over half of the money it collected, state Treasury data show. Still, for those eligible to get money back, the change would be profound: Imagine getting a surprise stimulus check in the mail - except the money has been yours all along. Unclaimed property owed to businesses, nonprofits, or local governments also wouldn’t qualify. In more complex or higher-value cases, people would still have to file claims. The proposed change wouldn’t apply to most of the money the state receives only amounts under $5,000 with a sole owner who is still alive would qualify. “It’s pretty much a no-brainer,” DiSanto told Spotlight PA. John DiSanto (R., Dauphin), was voted out of the Senate’s Finance Committee in early May with unanimous support. But without a change in the law, it can’t send people their money back unless they file a formal claim.Ī bill that would allow the Treasury to proactively return some unclaimed funds, introduced by state Sen. Garrity said the state Treasury can often identify a current address for people who have unclaimed funds.
#UNCLAIMED MONIES UPDATE#
After all, many residents aren’t hard for state governments to find: They pay taxes each year, update the address on their driver’s license, and register to vote. Critics, including the financial institutions responsible for turning over unclaimed funds, have long questioned whether states are doing enough to reunite people with their money. Following the lead of states like Illinois and Wisconsin, she has proposed legislation that would allow the state to automatically return some money to people with no action required on their part.Īll states have unclaimed property laws, which officials say protect residents by safeguarding missing money until it can be returned. State Treasurer Stacy Garrity wants to change that. But many likely have no idea there is money waiting for them in the first place. To get it back, they must search for their name in a public database, then file a claim.
The current system for reclaiming that money, however, puts the burden squarely on the roughly one in 10 Pennsylvanians whose misplaced dollars the state is holding.
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