Credit unions must deal with dormant customer accounts-accounts that sit unused- usually due to its owner’s death, inadvertence or forgetfulness. Once an account becomes dormant, the funds escheat, or revert, to the state.
If you or a family member have not used your Tower account in the last three years, the account will be considered abandoned by Maryland state law. This law requires that the funds in these accounts be sent to the state.
An easy way to keep your Tower account(s) from becoming dormant is to make a small deposit to your account, at least once a year.
Annual deposits also prevent the Inactive Member Fee to members over 22 years of age with less than $100 deposit balance and no account activity in a 12-month period.
When an account becomes inactive, it is often because the owner has either forgotten or moved away from the area without updating his or her mailing address. If you plan to move, don’t forget to complete a change of address form for safe delivery of important communications from Tower.
There are two ways to update your address online:
• Login to Home Banking, go to My Profile and select Update contact information.
• If you are not a Home Banking user, visit towerfcu.org, go to Forms, then Change of Address.
Members without a monetary transaction within their Tower account(s) in the last three years will receive a letter this month with instructions on how to avoid having the funds sent to the State of Maryland. For answers to questions about your Tower account, call the Member Service Center at 301-497-7000 or 866-56-TOWER.
|Figure 1: Actual total of member assets escheated to the State of Maryland for 2018.||Figure 2: Member assets identified as being escheatable to the State of Maryland for 2018.|