Maybe you left a job and you didn’t realize there were still some unpaid wages owed to you. Or maybe you moved to a new city and forgot to close one of your old credit union accounts. These are just a couple examples of how you might lose track of money that’s rightfully yours — what the law calls unclaimed property. Learn what unclaimed property is and how it’s dealt with in British Columbia.
What you should know
“A while back, I ran into some financial headwinds and defaulted on my mortgage. I wasn’t able to make my payments, and the bank foreclosed. At my hearing, the judge ordered me to pay money into court, which I did. Years later, I got a letter from BC Unclaimed saying they had unclaimed court funds in my name. Apparently, there was still money left over after the bank had received their share. Needless to say, I was pleasantly surprised!”
– Andy, Burnaby, BC
Unclaimed property is the legal term for money held by an organization that the rightful owner hasn’t used for a long time. Courts, credit unions, utility companies, insurance companies, and the government can all hold unclaimed property. In this context, the “property” referred to is always money. It doesn’t include physical property, like land, buildings, vehicles, or other physical possessions.
When property becomes unclaimed
BC law describes circumstances that lead to money becoming unclaimed property. Generally, if an organization holds money that belongs to someone, and the person doesn’t deal with that money for a set period of time, the organization has a duty to try to contact them. If after making reasonable efforts they aren’t able to reach the person, the money is deemed to be unclaimed property.
Below, we explain what happens if you’re the owner of money that becomes unclaimed property.
There are a variety of situations where money can become unclaimed property. Here are some common examples:
dormant credit union accounts
funds held in court
unpaid wages
when someone dies without a will (intestate) and their next-of-kin can’t be located
insurance payments
overpayments to debt collectors
real estate deposits
Under BC law, unclaimed property can only be money. It doesn’t include physical property like land, buildings, vehicles, or other personal possessions. Where physical property is unclaimed or abandoned, different laws apply.
If you’re the owner of unclaimed court funds
In a lawsuit, it’s common for a party to pay money into court. For example, if the lawsuit relates to an unpaid debt, the court may require the debtor to deposit funds into court to repay creditors. In some cases, the amount that’s paid into court is more than what’s required to settle the lawsuit. If this happens, the person who paid the money into court has to apply for a court order to reclaim their money. We explain the steps involved.
BC Unclaimed is the legal custodian of unclaimed property in the province. They administer the province’s unclaimed property program. The organization isn’t part of the government — rather, it’s an independent, non-profit society.
BC Unclaimed receives unclaimed property from other places like courts, estates, and insurance companies. Their main role is to hold the funds on behalf of the rightful owner until they find the owner or the owner submits a claim for the funds. When they confirm that someone is the rightful owner of unclaimed property, they send them a cheque for the unclaimed funds.
Search for unclaimed property in your name
BC Unclaimed maintains a free, public database of unclaimed property in the province. You can search the list on their website to see if the agency is holding money in your name. With over $200 million waiting to be claimed, it’s worth a look!
While some institutions are legally required to send unclaimed property to BC Unclaimed (credit unions and debt collectors, for example), some are not. For example, a company that holds unclaimed property in a brokerage account isn’t required to send it to BC Unclaimed. So even if you don’t have any unclaimed funds listed in BC Unclaimed’s database, that doesn’t rule out the possibility you may have unclaimed funds elsewhere.
Here’s a list of other sources where you may be able to search for unclaimed funds.
When BC Unclaimed receives unclaimed money over $200, the law says they must try to locate and notify the owner. If they receive money in your name, they will send you a letter telling you so. (BC Unclaimed relies on databases like ICBC and BC Online to find a person’s contact information.)
If you receive a letter from BC Unclaimed, it doesn’t necessarily mean that they have money that belongs to you. When searching for an owner, they’re looking for anyone with the same name as the information they have on file. To claim the money, you’ll need to provide proof of your identity and documentation connecting you to the funds. This allows them to verify you’re the true owner.
Here, we walk you through the steps to make a claim with BC Unclaimed.
BC Unclaimed protects your personal information
BC Unclaimed is required to follow BC’s main privacy law that applies to public bodies. This means they only collect and use your information for the purpose of contacting you. They keep your information confidential, and securely destroy it when it’s no longer needed. See BC Unclaimed’s privacy policy for details.
If a different organization has your unclaimed property
Under the law, not all organizations are required to send unclaimed property to BC Unclaimed. But if an organization decides to hold onto unclaimed money, they still have a duty to try to locate and notify the rightful owner.
If you’re contacted by an organization that holds unclaimed money in your name, they will explain the process to claim it.
Generally, unclaimed property held by BC Unclaimed is always available to the owner. However, the more time that passes, the harder it may be to prove you’re the rightful owner.
For other organizations, the law says that they can treat the unclaimed funds as income after a set period. The deadline ranges from six to 30 years from when the funds became unclaimed, depending on the amount.
BC Unclaimed donates excess funds to charity
Some unclaimed property will never be claimed. This means that BC Unclaimed ends up with more money than they need to fulfill existing and future claims. Every year, they put aside a portion of these excess funds to support BC charities and non-profits. Learn more on BC Unclaimed’s website.
