Kim Finkle, MBA, Financial Advisor

Why are so many divorced Americans are unaware of unclaimed assets and property?

The simple explanation is that a significant number of individuals are unaware of its existence. While the recognition of unclaimed property and assets is widespread, and many states have implemented measures to identify and return them to their rightful owners, the same awareness does not extend to the majority of divorced Americans. The divorce journey is arduous and filled with challenges, and many people lack the motivation or energy to diligently trace every financial asset they may have overlooked due to incomplete paperwork, legal complexities, and other complications associated with divorce.

 

Moreover, the mechanics of unclaimed property are often unclear to many, leading them to not know where to initiate the search for these assets and property. Given the diverse laws and procedures governing unclaimed property across different U.S. states, the process of tracking them down becomes intricate and time-consuming. The issue's lack of public awareness among divorced Americans is likely another contributing factor, as heightened publicity might prompt more individuals to take a keener interest in addressing this matter.

 

Is the government not getting the word out or do most people not care to track down unclaimed property?

This issue has two facets. On one side, the government has undertaken efforts to inform the public about unclaimed property and assets, establishing offices in many states dedicated to locating and returning them to their rightful owners. However, public awareness of these offices remains low, and there seems to be insufficient engagement from divorced Americans in utilizing the services offered. This lack of awareness stems from the fundamental issue that many individuals are not cognizant of the existence of unclaimed property and assets.

Moreover, the government's outreach on unclaimed property and assets has been limited. While some states have established offices specifically designed to assist in locating and returning such properties, there has been minimal public advertising to inform people about these services. If more individuals were aware of these resources and how to access them, it is likely that a larger number would avail themselves of the services, leading to the recovery of entitled unclaimed assets and property.

However, it is also true that many individuals may not be inclined to pursue unclaimed property and assets actively. Divorced Americans often contend with numerous responsibilities, and the prospect of seeking out such assets can be daunting, particularly given the logistical complexities involved. Additionally, the lack of awareness regarding services provided by local government offices to locate unclaimed property contributes to the limited steps taken by individuals to identify and claim these assets.

Furthermore, several states have implemented measures to simplify the process of locating and claiming unclaimed property and assets. Some have established streamlined procedures, allowing individuals to file claims without having to physically visit state offices. Additionally, certain states facilitate online claim submissions, ensuring a prompt and efficient response.

Finally, it is crucial to recognize that unclaimed property and assets may be situated in multiple states, not solely the individual's state of residence. Consequently, co-parents should also check the websites of any additional states where they have lived or conducted business to ensure they are not overlooking any unclaimed assets or property.

 

What’s the process for claiming unclaimed property?

The procedure for claiming unclaimed property varies slightly depending on the state where the property is situated. In general, individuals typically initiate the process by filing a claim with the relevant state office. This claim must include valid proof of ownership, such as a copy of the deceased's will or a valid property deed, and should clearly reference the specific account or piece of property being sought.

Following the claim submission, individuals can expect a response within a few weeks. Depending on the specific details of the claim and the state in question, additional documentation may be required for the release of the unclaimed property, or the individual might receive payment in the form of a check or direct deposit.

It is crucial to be aware that certain states may impose a filing fee for claims, and some might withhold a portion of the unclaimed property for tax or other reasons. Individuals making claims in other states should also take note of any special requirements and restrictions, such as time limits for filing or specific documents that must accompany the claim. Therefore, it is advisable to check with the relevant state office before initiating a claim for unclaimed property.

 

Specific tips to find and claim unclaimed property

• Ensure you visit the website of your state's unclaimed property office, as it is the most reliable starting point for locating unclaimed assets or property.
• Keep in mind that unclaimed property and assets could also be situated in other states, so be thorough in checking the websites of any additional states where you or the deceased individual have lived or conducted business.
• When filing a claim, make certain to furnish valid proof of ownership, as this is typically a prerequisite for receiving unclaimed property or assets.
• Be mindful of any fees associated with filing a claim, and take note of any special requirements or restrictions that may be applicable.
• If you find yourself uncertain about the process for claiming unclaimed property or have inquiries about it, it is always advisable to consult the relevant state office for additional information.

 

Conclusion

In summary, it is evident that a significant number of divorced Americans are unaware of the unclaimed assets and property rightfully theirs. This lack of awareness is likely attributable to a deficiency in public knowledge on the matter, compounded by the logistical complexities involved in tracing and recovering these assets and properties. While the government has taken steps to inform the public, there is room for increased efforts to highlight this issue and simplify the process for individuals to identify and reclaim their unclaimed assets and property. Co-parents should take the initiative to acquaint themselves with the procedures involved in locating and claiming unclaimed assets and property to avoid missing out on potentially valuable entitlements.

Warning:  This post is neither financial, health, legal, or personal advice nor a substitute for the advice offered by a professional. These are serious matters, and the help of a professional is recommended as it can impact your future.