Posted on Mar 7, 2017 by B.Bryan |
With HB 2536, the Illinois General Assembly is presently considering an important change to how companies must send due diligence letters in order to re-establish contact with the owner of the unclaimed property. If the bill passes, holders will be required to send all letters via certified mail rather than first class mail.
Other states that already have similar provisions include Ohio and New York.
Having to prepare a certified mailing for each letter would be expensive and burdensome. Arguably, this increases the chances of reuniting unclaimed funds with the rightful owner, and provides greater evidence that due diligence was performed (in the event of an audit). However, the expense may not be justified here, considering a holder may have a 5 year-old address for owners requiring due diligence.
UPDATE: this bill is making its way through the legislative process, having been referred back to the House Rules Committee for further deliberation on April 28, 2017.