Reclaiming Dormant Savings Bonds From the State Controller’s Office
If you or a loved one has ever purchased U.S. Savings Bonds and forgotten about them, you may be in for a pleasant surprise. Each year, countless individuals are unaware that their dormant or unredeemed savings bonds have been transferred to the State Controller’s Office as unclaimed property. In California, this office holds millions in unclaimed property, including dormant savings bonds that can still be reclaimed by rightful owners or their heirs. In this guide, we’ll explain everything you need to know about how to reclaim dormant savings bonds from the State Controller’s Office.
What Are Dormant Savings Bonds?
Savings bonds are long-term investment instruments issued by the U.S. Department of the Treasury. They are designed to be held for years, often used as gifts or tools for savings. However, many people forget about these bonds, lose them, or are unaware they exist, especially after the original purchaser passes away. If a bond remains unredeemed for a long period, it can be turned over to the state where the owner last resided. This is called escheatment.
Once escheated, these savings bonds become dormant property in the hands of the State Controller’s Office until they are claimed by the rightful owner.
How Do Savings Bonds End Up With the California State Controller?
The process is relatively straightforward. Financial institutions, employers, or other holders of unclaimed property are required by law to turn over abandoned financial assets to the state after a period of inactivity, usually three years. This includes U.S. Savings Bonds if they haven’t been cashed or claimed.
Some examples of how bonds may go dormant:
- The owner moved and forgot about the bonds
- The bonds were purchased as a gift and the recipient never cashed them
- A deceased individual had bonds in their estate, but heirs were unaware
- Bonds were placed in a safe deposit box and later abandoned
Once they become dormant, these assets are turned over to the California State Controller’s Office and listed in their unclaimed property database.
Why Should You Reclaim Dormant Bonds?
There are several good reasons to reclaim dormant savings bonds:
- They Earn Interest: Many U.S. Savings Bonds continue to earn interest for up to 30 years. The value may be significantly higher than the original purchase amount.
- They Belong to You or a Family Member: You may have a legal right to this property, either as the original owner or an heir.
- It’s Your Money: Letting your money sit with the state unnecessarily deprives you or your family of its use.
How to Search for Dormant Bonds in California
To search for dormant savings bonds, start by visiting the California State Controller’s unclaimed property database. Here’s how:
- Go to: https://ucpi.sco.ca.gov/UCP/
- Enter your name or the name of the person you believe may have unclaimed bonds.
- Review the search results carefully to identify any potential matches.
- If you find a match, follow the instructions to begin the claims process.
Pro tip: Try variations of names, initials, and even past addresses to ensure you’re not missing anything.
The Claims Process for Savings Bonds
If you discover that the State Controller is holding dormant savings bonds in your name or a loved one’s, you will need to file a formal claim. The process includes:
- Submitting a Claim Form: Complete the claim form provided by the Controller’s website.
- Providing Proof of Identity: This may include a copy of your driver’s license or passport, Social Security number, and proof of address.
- Verifying Ownership: You may need to show proof of ownership or connection to the bondholder, especially in cases involving inheritance. Death certificates, wills, or probate documents may be required.
- Waiting for Approval: Claims can take several weeks to process. Be sure to provide all required documentation to avoid delays.
Claiming Bonds on Behalf of a Deceased Relative
If the bondholder is deceased, heirs or estate representatives may file a claim. Required documents often include:
- A certified death certificate
- Legal documentation proving you are the heir (will, trust, probate order)
- Proof of your identity
- A notarized claim form
You may also need to complete additional steps if the estate was never probated. In such cases, small estate affidavits may be used under California Probate Code Section 13100.
Common Pitfalls and How to Avoid Them
Reclaiming dormant savings bonds can be complicated if:
- You don’t have adequate documentation
- There are multiple heirs involved
- The bond records are incomplete or damaged
- The estate has not gone through probate
To avoid these pitfalls:
- Start gathering documentation early
- Work with a professional asset investigator or attorney if necessary
- Keep copies of everything you submit
- Be patient but persistent with follow-ups
Can You Claim Bonds That Aren’t Listed Online?
Yes. Sometimes, savings bonds are not listed in the online database but still exist as part of unclaimed property. You can submit an inquiry directly to the State Controller’s Office. Additionally, if you believe a safe deposit box held by a financial institution may contain bonds, you can request a search.
The Role of Professional Asset Investigators
Working with an experienced asset investigator can greatly streamline the claims process. Professionals can:
- Help locate and verify dormant bonds
- Assist with complex family situations and inheritance claims
- Navigate legal documentation
- Communicate with the State Controller’s Office on your behalf
This is especially helpful if you’re trying to claim bonds on behalf of a deceased relative or if you live out of state.
Conclusion
If you believe you or a loved one may have unredeemed savings bonds, don’t let them sit dormant any longer. The State Controller’s Office holds these assets until they are claimed, but the process of reclaiming them can be time-sensitive and document-heavy. With the right preparation or the help of a professional, you can recover what is rightfully yours.
Don’t leave money on the table. Take action today to reclaim dormant savings bonds from the State Controller’s Office.
25 Useful Backlinks for Further Information
- https://ucpi.sco.ca.gov/UCP/
- https://www.sco.ca.gov/upd_msg.html
- https://www.treasurydirect.gov/
- https://www.treasurydirect.gov/indiv/research/indepth/ee_bonds.htm
- https://www.treasurydirect.gov/savings-bonds/
- https://www.consumerfinance.gov/ask-cfpb/what-is-a-savings-bond-en-915/
- https://www.irs.gov/taxtopics/tc503
- https://www.nolo.com/legal-encyclopedia/what-is-probate.html
- https://www.nolo.com/legal-encyclopedia/how-use-small-estate-affidavit.html
- https://www.courts.ca.gov/
- https://oag.ca.gov/consumers/general/unclaimed-property
- https://www.usa.gov/unclaimed-money
- https://www.usa.gov/death-benefits
- https://www.justice.gov/criminal-fraud/consumer-fraud-section/unclaimed-funds
- https://www.investopedia.com/terms/s/savingsbond.asp
- https://www.investopedia.com/articles/basics/06/savingsbonds.asp
- https://www.calbar.ca.gov/Public/Free-Legal-Information
- https://leginfo.legislature.ca.gov/
- https://www.fdic.gov/resources/consumers/money/unclaimed-funds/
- https://www.naupa.org/
- https://www.unclaimed.org/
- https://www.ssa.gov/benefits/survivors/
- https://www.dmv.ca.gov/portal/handbook/
- https://www.canhr.org/
- https://claimmycaproperty.com/