If you have an inactive bank account, including a trust account or long-term savings account, be warned not to let it sit idle for too much longer. Any accounts that have been untouched for the past 3 years will be transferred to the Australian Securities and Investments Commission [ASIC].
Unfortunately it seems that thousands of Australians will be affected by this new legislation. If affected, you will find that your money will disappear from your inactive account from the 31st of May if you haven’t made a transaction in the last 3 years. Interest, fees and bank charges to’ing and fro’ing in your account will not stop it from being inactive. This means you need to actually make a deposit or withdrawal, even of as little as $1, in order to ensure that your money stays in your own pocket (or bank account).
If you’re having trouble remembering where all your money has been placed, this ASIC tool will help you to search for any funds you may have forgotten about: https://www.moneysmart.gov.au/tools-and-resources/find-unclaimed-money.
If you have money sitting in a trust account, long-term savings account, or have simply put away a little for a rainy day, please heed our advice and deposit an extra dollar today. We’ve been told that money transferred to the Australian Securities and Investments Commission will be reclaimable, but this will require proof that you’re the rightful owner, and as with most things bound by red tape, may be a lengthy process. The best way to keep your money safe is to avoid the problem and make a transaction today.
Our team at Professionals Mudgee Real Estate ask that you share this with all of your family and friends, and make sure nobody you know is caught out by this new legislation at the end of the month.