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Learn the unclaimed property rules and their time limits for the state of Kansas.
In Kansas, all things relating to unclaimed property are handled by the Unclaimed Property Division of the Kansas State Treasurer.
Kansas businesses have a number of responsibilities concerning unclaimed property. Initially, written notice must be sent to the apparent owner of the unclaimed property, if known. If the property remains unclaimed, businesses have a number of filing and reporting requirements to fulfill. Most importantly, businesses are required to turn over any and all unclaimed property to the state. Stiff penalties apply to businesses who fail to comply with any of these requirements.
Individuals should know that Kansas property is generally presumed abandoned if it has remained unclaimed by the owner for more than five years after it became payable or distributable. However, this time limit varies depending on the type of property involved. Once abandoned property is turned over to the state by a business, an individual then has three years to reclaim it before the state sells the property to the highest bidder at a public sale.
Information reports are required of persons holding property (e.g., banks, insurance companies) which has escheated to the state by reason of a presumption of abandonment as described above. The report is made to the State Treasurer and is due before November 1 for each year ending as of the preceding June 30. Insurance companies file by May 1 of each year ending as of the preceding December 31. The report requires identification of the property and its former owner and dates when the property became payable and when the last transaction with the owner occurred.
Prior notice to owner. The holder of property presumed abandoned must send a written notice to the apparent owner of unclaimed property 60 to 120 days before filing a report with the State Treasurer if:
The written notice must also contain the following:
If the holder is not a life insurance company, the written notice must set forth an additional statement that the funds or other property will be reported as unclaimed property to the state treasurer of Kansas no later than November 1 of the current year. If the holder is a life insurance company, the written notice must set forth an additional statement that the funds or other property will be reported as unclaimed property to the state treasurer of Kansas no later than May 1 of the current year.
Delivery. Persons who are required to file information reports deliver the property to the State Treasurer at the same time. The Treasurer may decline to accept property or may dispose of property without value.
Unclaimed property can be reported and delivered early before the prescribed dormancy period for abandonment has elapsed with written permission from the Treasurer.
Recordkeeping. A business must generally maintain related records 10 years after the unclaimed property becomes reportable. However, the period is three years for traveler's checks, money orders, and similar financial instruments.
Penalties. a person who willfully fails to file the information report may be fined $100 per day, up to a maximum of $5,000. A penalty of 25 percent of the value of the property is imposed for willful failure to deliver the property, together with interest at the annual rate of 10 percent above the rate of discount for treasury bills.
In Kansas, property is generally presumed abandoned if it has remained unclaimed by the owner for more than five years after it became payable or distributable. However, this time limit varies depending on the type of property involved. Once abandoned property is turned over to the state by a business, an individual then has three years to reclaim it before the state sells the property to the highest bidder at a public sale.
Locating abandoned property held by the state. The State Treasurer is required to publish a notice within the calendar year following the filing of the information report listing the unclaimed property reported by a holder to the Treasurer and the names of the apparent owners together with their last known address. The notice is published at least once in a newspaper of general circulation.
Unclaimed property held by the state may also be found by searching the state's website.
To find out if other states may be holding your unclaimed property, search the national database established by the National Association of Unclaimed Property Administrators (NAUPA).
Filing a claim. Claims for recovery of abandoned property are made to the State Treasurer on forms designated by that officer, who will notify the claimant in writing if a claim is denied in whole or in part.
If a claim is allowed, the Treasurer will pay over or deliver to the claimant the property or the amount the administrator actually received or the net proceeds if it has been sold. If the claim is for property presumed abandoned which was sold by the Treasurer within three years after the date of delivery, the amount payable for that claim is the value of the property at the time the claim was made or the net proceeds of sale, whichever is greater.
A person dissatisfied with a decision of the State Treasurer or a person whose claim has not been acted upon within 90 days after its filing may bring an action in accordance with the act for judicial review and civil enforcement of agency actions.
If you're looking for additional information on unclaimed property, we recommend contacting your state's governmental agency that oversees the administration of this area of the law. For help in answering a specific unclaimed property question in Kansas, contact the following:
Kansas State Treasurer
Unclaimed Property Division
900 SW Jackson St., Suite 201
Topeka, KS 66612-1235
Phone: 1-800-432-0386, (785) 296-4165
Fax: (785) 296-7950
|Property Type||Presumed Abandoned After|
|Bank account||five years|
|Checks or drafts||no specific provision|
|Demutualization proceeds||two years|
|Gift certificates, gift cards, and credit memos||Customer credit: five years|
|Insurance policies||Life or annuity policies: three years|
|IRAs or retirement funds||IRAs and defined benefit plan funds: three years|
|Money orders||seven years|
|Other intangible personal property not otherwise specified||excess proceeds from a lien sale: one year
property originated or issued by an entity in the state: three years
other property: five years
|Proceeds from class action suits||one year|
|Property distributable by a business association in the course of dissolution||one year|
|Property held by courts or public agencies||one year|
|Property held by fiduciaries||five years|
|Safe deposit boxes||five years|
|Shares in a financial institution||five years|
|Stocks, dividends, and distributions||five years
Includes automatic dividend reinvestment plans
|Traveler's checks||15 years|
|Deposits and advances owed utility company customer||deposits and refunds: one year|
|Wages or salaries||one year|