Customers will still be able to reclaim their unclaimed assets if their money is mistakenly transferred out of a 'dormant' account, government proposals have promised.
The government has been consulting banking industry representatives on how to use the "stock of several hundred million pounds" thought to lie unclaimed in the UK's bank accounts.
Funds in an account untouched for 15 years will be classified as 'dormant' and the contents transferred to a central 'reclaim fund' if customers are out of contact.
But the British Bankers' Association's (BBA's) priority throughout has been to ensure that customers are protected if their assets are transferred out, BBA chief executive Angela Knight stresses.
Britain's banks and building societies have made commitments to increase customers' chances of reclaiming their funds, notifying them of the imminent transfer by writing to last known addresses and attempting to trace them.
Any unclaimed assets will then be transferred to 'community causes', Treasury minister Ed Balls announced this week, with fuller details of the projects to be sponsored set for release this spring.To learn more about current accounts, click here.
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