What is this?
If you forgot about your bank account or if there is no transaction in a bank account within THREE years, your money belongs to the government. This is the Law. Previously the time was seven years.
More details and references are given below.
Official Statements and Site
This law is done under the Banking Act of 1959 ammendment in November 2012.
- Search / Google this: november 2012 Banking Act of 1959
- go to a list of laws at http://www.comlaw.gov.au/Series/C2004A07357, see ComlawId C2012C00911
- go directly to http://www.comlaw.gov.au/Details/C2012A00176
"Treasury Legislation Amendment (Unclaimed Money and Other Measures) Act 2012
- C2012A00176"
Here is an excerpt in legal language:
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Omit “not less than 7 years.”, substitute:
not less than:
(a) 3 years; or
(b) if a greater number of years is specified in the regulations—that greater number of years;
beginning:
(c) at the most recent time when the account was operated on either by deposit or withdrawal; or
(d) if another time is ascertained in accordance with the regulations—at that other time.
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Why is this wrong?
- Because it is not your intention to give money away.
- Because your money can be taken without your permission.
- Because there is no (good or bad) reason to do this at all. There is no cost to the government while the bank is actually holding the money. In fact, this law means the government have to spend more money to hire people to keep track and confiscate other people's money. This is wasted taxpayers money.
- Because it is unjust. This will affect the poor people more. Poor people need money the most, especially forgotten money.
What to do?
You just need to make transactions with that account to prevent the money from being LEGALLY STOLEN from you.
If it is stolen, you need to spend lots of time and effort to get it back.
Here are some leads:
1. ASIC(Australian Securities and Investments Commission) Phone: 1300 300 630
ASIC maintain the unclaimed (legally stolen) monies database. This is like going to the thieves to ask for your money back - but it is worth a try.
2. Search for your money at www.moneysmart.gov.au
Definitions:
Legally Stolen - The act of theft that is sanctioned or carried out by those who make or enforce the law. This usually happens in corrupt nations, dictatorial regimes. This also happens many centuries ago where brute force is the law. However, in modern post GFC(Global Financial Crisis) times, many countries in financial stress have adopted this practice on their citizens.
