The New York Unclaimed Funds Office holds billions of dollars in unclaimed assets. How do these funds end up there? In many cases, they belong to individuals who have passed away. When a bank account remains inactive for a certain period—typically one to three years, depending on the bank’s policy—it is considered dormant. Once that happens, the bank closes the account and transfers the funds to the NY Unclaimed Funds Office. However, this doesn’t mean the state of New York keeps the money. Instead, it simply means the bank is no longer responsible, and the estate must claim the funds directly from NYS.
How Can Someone Find out if Money is Being Held by NY Unclaimed Funds?
Sometimes, banks send notices to the account holder’s last known address, informing them that the funds will be transferred to NY Unclaimed Funds by a specific date. However, if the account holder is deceased, their heirs may never receive this notice. Another way funds can be discovered is if the Unclaimed Funds Office identifies an heir and sends them a letter notifying them of the assets. Finally, heirs or beneficiaries can check for unclaimed funds by searching the decedent’s name on the official NY Unclaimed Funds website. However, if the name is common or the database hasn’t been updated, it may require a more thorough search such as mailing them a letter with the decedent’s social security number.
Search for Lost Money here:
https://ouf.osc.state.ny.us/ouf/?wicket-crypt=T49FVT3jbEg
The Frustrating Reality of Unclaimed Funds: Why Won’t They Give You an Account Estimate?
If you’ve ever tried to claim assets from an unclaimed funds office, you may have run into a major roadblock—they refuse to disclose the value of the account. While they’ll confirm whether they’re holding assets for a deceased person, they won’t tell you how much is there.
This policy is more than just inconvenient; it can be a costly and an unnecessary burden. Hiring a probate lawyer to claim an account worth only $500? A complete waste of money. Worse yet, probate courts require an estimated estate value before granting authority to collect assets.
Why This Matters
Let’s say you go to court and report the estate’s value as $30,000. The judge then issues an order allowing you to collect up to $30,000 in assets. If you later discover that the unclaimed funds office is actually holding $50,000, you’ll be stuck—you won’t be able to claim the account without going back to court to amend the paperwork.
What Can You Do?
Call and Ask for an Estimate – while they officially won’t disclose exact figures, some representatives may give a general range.
Overestimate the Estate’s Value – when filing court papers, listing a higher estimated value may prevent unnecessary amendments later.
Be Prepared to Amend Your Filing– if you underestimate, you’ll need to go back to Surrogate’s Court for a new court order, so factor in potential delays.
First and Main Step: Opening an Estate
If you want to claim assets from the NYS Unclaimed Funds Office, you must obtain either Letters of Administration or Letters Testamentary. The type of letters you need depends on whether the deceased person (the decedent) left a will.
- If there is no will – You must apply for Letters of Administration to manage the estate.
- If there is a will – The nominated executor must file for Letters Testamentary to administer the estate.
Without one of these legal documents, the NYS Unclaimed Funds Office will not release any assets.
Filing a Claim with NYS Unclaimed Funds
When filing a claim, the administrator or executor must complete the required NYS Unclaimed Funds form and submit:
- The death certificate
- Certified Letters of Administration or Letters Testamentary
Obtaining these letters can be a challenging process in New York, especially when multiple parties are involved.
What Happens When There Is No Will?
If the decedent did not leave a will, a surviving heir must apply to become the estate administrator. This process requires notifying all legal heirs, which can become complicated if:
- Some heirs are deceased, leaving their own heirs in line for inheritance
- The next closest heirs are first cousins, which adds complexity to the legal process
Example:A father passes away, leaving behind three children. However, one daughter predeceased him. That daughter’s children are also legal heirs and must be notified and included in the estate distribution.
What Happens When There Is a Will?
Even when a will exists, probate can still be complex.
- All potential heirs who would have inherited if there were no will must be notified. This gives them a chance to challenge the will.
- If heirs include first cousins or descendants of deceased children, the process can become even more intricate and a genealogist has to be hired.
- The original will must be in good condition— fully executed, staples cannot be removed, and no alterations are allowed.
Once the NY Surrogate’s Court accepts the will for probate, it will issue Letters Testamentary, granting authority to the executor to collect assets and make distributions.
No Letters, No Access to Unclaimed Funds
Without Letters of Administration or Letters Testamentary, there is no way to claim assets from the NYS Unclaimed Funds Office—even if you are the spouse or only surviving child.
To obtain these letters, you must first open an estate in New York and receive court approval as the executor or administrator. Only then can you claim the unclaimed assets.
Contact us immediately
If you are in this situation or something similar, contact us right away. Don’t let estate assets go to waste. We can help you navigate the New York probate process and come up with the best solution. We act as executors and administrators often in NY Surrogate’s Court and can serve for your loved one’s estate.
Mishiyeva Law, PLLC.
85 Broad Street 18th Floor
New York, NY 10004
United States
