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Trying To Track Old CD

Gailrc75
Gailrc75   |     |   4 posts since 2015

I ran across 2 CD's that Matured in 1995 totaling $35K ( invested amount).  Originally deposited at Barnett Bank, Jacksonville, FL.  Barnett Bank was bought out by Nations Bank which was bought out by Bank of America.  These certificates are the originals in the plastic sleeve and it says on the face "automatic renewal."  Depositor died in 2002, my mother in law was the administrator of the estate as well as the sole beneficiary.  In that era you normally had to bring in the certificate to cash it out.  Went with my mother in law to the bank today and they could not find a record of these CD's...not that they tried very hard!  I'm sure they have been through several computer systems since then and the two sales/mergers probably does not help matters.  Are they required to produce evidence that they were cashed out at some point?  I already checked with the state and money was not turned over to them.  Any help would be most appreciated!  They have opened a research ticket to try to locate the funds.  If they come back and say they have no record of the accounts what should we do next?  This is not an insufficient amount of money to my mother-in-law.  Thanks!



Answers
FAR
FAR   |     |   112 posts since 2013
Couple questions to the original poster; Are these IRA cds or regular cds and what were the terms of the cds? I think closing out an IRA cd from a deceased would be a little more difficult. I am a little surprised that this was not caught when the estate was finalized but curious how did you happen to run across them 13 years later? No end of year statements were mailed?  You noted your mother in law was the beneficiary of the estate but wondering if someone else may have been listed as a beneficiary on the cd’s. Like others have said, there has to be a paper trail but may take a little time and leg work for you and the banks to recreate since it has been 20 years.

I would be curious to have a follow up to see how this ends up. Good luck.
Gailrc75
Gailrc75   |     |   4 posts since 2015
These are regular CD's, terms were I year to maturity and automatically renewing.  Original depositor of the CD's died in 2002.  He had no family and my MIL had helped take care of him and was also the administrator of his estate.  She is now 90 and I have no idea how this didn't arise when the estate was finalized.  She ran across the CD's recently while cleaning out an old file cabinet belonging to the deceased.  I can't answer the question about rather or not year end statements were mailed and even if so, the deceased was in a nursing home for several years prior to death and I'm not sure what his mental state was during that time span.  I will definitely post the final results of this but I have a feeling it is not going to be something that happens quickly.  Thanks! 
Ally6770
Ally6770   |     |   1,967 posts since 2010
You do not have to turn in the paper CD while cashing in a CD. I have had several that I have cashed in while keeping the paper copy. I put each new one in the same plastic envelope as the old one. With IRA's this was helpful.  Having purchased IRA CD's annually from 1978 thru 2008 for both my husband and myself we, at one time, had several envelopes before we were able to combine or disclaim them.  I have been shredding many the last few months.

I have never heard of a state taking the name off the list. In Michigan I  recently contacted a friend that had a check on the list that were dated in 1990.  

Having on-line banking, I believe, can and will be an considerable obstacle for beneficiaries on the death of a single person or with a person who has diminished capacity. 
Encourage your elders to print a copy of at least one statement and put them in a file, along with a hard copy of the signature card naming beneficiaries, and also to keep a ledger for easy tracking. 
paoli2
paoli2   |     |   2,227 posts since 2011
Maybe the banks you deal with do not need the paper copy of the CDs and we never did either until we moved to our new state and are using new banks.  It seems "certain" banks we deal with tell us from the get go that on the maturity date we cannot withdraw the funds unless we return the original paper copy of the CD to them.  It can't be a copy either.  It must be the original one.  I do not like this practice and only use these banks if they have a better rate than others.  I keep the original paper copies in a special envelope to remind us it has to be returned since we are not used to this practice.  I cannot see a reason for it since all their info is supposed to be on the computer anyway.
Gailrc75
Gailrc75   |     |   4 posts since 2015
I worked in a bank  (not the one in question) for15 years and our bank required the presentation of the original certificate to cash it out.  Now I'm sure there are procedures for lost certificates so you don't just lose the money.  There certificates state on the back that the original must be submitted at maturity to cash out.  I guess some banks do and others don't. Ally6770, I was not suggesting that the state removed  the name from the list but rather that the bank did not remit the funds to the state. I have read articles online about Bank of America doing some pretty unscrupulous things to avoid paying out money on old CD's & bonds.  That's for your responses.
paoli2
paoli2   |     |   2,227 posts since 2011
Gailrc75:  We were told by our banks that if we ever lost the original CDs, we would not forfeit the funds.  We would just have to fill out certain forms stating they were lost for the bank and we could still get the money involved.  In your case, if the bank is not cooperating with you, you may have to go the the organization which oversees the banks and let them know what is going on.  They can probably help you get the money.  Best of luck.
me1004
me1004   |     |   537 posts since 2010
I don't have answers for you, just some input.

What really seems perplexing is that the state says the bank never turned over any of the money to the state. I don't now the time frame for that in Florida, but in California it is seven years of no contact from the account holder. Once California gets the money, they put the name on a list that can be checked. At some point thereafter, the money is simply lost to the state. Presuming Florida does something similar, perhaps when the money is lost to the state, the record of it all goes away, is moved to some other location or destroyed as over and done?

Any way I look at it, the money should have gone to the state at some point. But the state says no. I have to think the state maybe faield t check wherever it is they put the old records. Of course if the bank did turn it over to the state, they certainly should have a record to show that, but they don't. Everybody is dropping the ball here.

Yes, wait on the bank to respond again, but go at the state again and demand a deeper look, suggest that the time frame finally passed for the state to take over the money and that the record might have been disposed of in some other place at that time than where they are now looking.

You might also look at all other bank records you have for the depositor and see if perhaps that money was put into another bank around that time. Who knows why the withdrawal was not have been marked in the book. If the depositor got the moeny, they had to do something with it - and that kind of amount would have to show up somewhere.

What to do next? I don't know if this is the kind of matter for filing a complaint with the government agency overseeing that bank. Other than that, alI can think of is getting a lawyer. The bank has to account for that money.
Gailrc75
Gailrc75   |     |   4 posts since 2015
It is my understanding that only California & Arizona eventually absorb and use the money turned in if no one files a claim.  In other states heirs can file a claim for it into perpetuity.  I'm in another state (Georgia) trying to help my 90 year old MIL with this and if the bank does not come up with a good explanation then I do intend to make a trip to review whatever records exist & see if I can figure out if it was transferred to another bank account.  Because of the expense, getting an attorney will be my last resort but if that is the only way then we will do it.  Thanks for the advice. 
Ally6770
Ally6770   |     |   1,967 posts since 2010
Another avenue would be to check IRS records. Interest earned had to be listed. You can get copies for a small fee from IRS.