Government want to empty all dormant bank accounts

[Grumpmeister]

I may be missing something here but whether or not the account is dormant the money still belongs to someone so surely if the government forces banks to clear these accounts out so that they can use the assets it would be theft.

Banks should be forced to use money in dormant accounts for good causes, the Treasury Select Committee has said.
The scheme to use so-called unclaimed assets for good causes was first proposed by the government in 2005.

Analysts say there is about ?400m lying in bank accounts which have seen no activity in many years.

But committee chairman John McFall said that if the scheme was voluntary then it would not work and that "banks should be compelled to participate".

Youth benefit

In March the government fleshed-out its plans to divert unclaimed assets into good causes.

The Treasury said cash from bank and building society accounts which had seen no activity for 15 years would be transferred to a central fund.

Recently, Prime Minister Gordon Brown said this cash should be used to fund youth projects.

The committee also called for money lying dormant in National Savings & Investments (NS&I) accounts to be ploughed into the central fund.

And accounts should be considered dormant after just 10 years rather than the 15 years currently planned, it added.

Such moves could add more than ?1bn into the central fund for distribution to youth projects, the committee added.

However, it said it should be easier for people with money in dormant accounts to claim their cash before it is diverted into any central fund.

In response, the British Bankers' Association (BBA) said its members welcomed the government's plans for unclaimed assets and that banks were already making efforts to reunite customers with their cash.

"Our members are fully committed to working closely with the government to make the unclaimed assets scheme a success," Angela Knight, chief executive of the BBA said.

"As the committee acknowledges, we are already making significant efforts to reunite customers with funds in dormant accounts," Ms Knight added

[Nick]

I wonder what "good causes" they have in mind. The John Prescott Pie Fund? The Olympics?

[Bar Wench]

My arse! I know my family have accounts that we haven't touched for ten years.  Not happy.

[Grumpmeister]

Ah but if they are only targetting accounts that havent been used in ages then the easy way to get around that is to do something with the account. Pay in a fiver, or withdraw a tenner the account is then no longer classed as dormant so the the Glaswegian Grasper can stick his plan where the sun doesnt shine.

[Snoopy]

My arse! I know my family have accounts that we haven't touched for ten years.  Not happy.

Then move them/use them/pay a ?1 into each one and they are then active.
Also remember they MUST make efforts to locate the account holders before they can seize the assets.

[Bar Wench]

I know it's just a hassle. Am now going to have to have a lengthly conversation with Mother Wench about why she must do it. If I was going home then I would just rumage for the information myself. Instead I'm going to have to talk her through it. 

[Mr Happy]

'Youth benefit'

Apparently being young is a benefit, surely Cherie Blair Esq can fight this as ageist.  Also, how do you class youth, under 18 perhaps.  Well, the money can't possibly belong to many of these people.

The money would be put to better use:

• Paying back lost pensions
  Building more prisons to get the scum off the street
  Building a big wall around the country to lessen immigration
  Shooting John Prescott

[grumpyoldsoldier]

Bloody hell.. that is well out of order, I shall be off to the post office, assuming I can find one with me little pass book and withdraw that 3/4d that has been  in there since 1956, It should be worth a bit know I reckon. In 1956 3/4d would buy you a small bungalow, a new suit and you would still have enough change for a fish supper.

[Uncle Mort]

In response, the British Bankers' Association (BBA) said its members welcomed the government's plans for unclaimed assets and that banks were already making efforts to reunite customers with their cash.

"Our members are fully committed to working closely with the government to make the unclaimed assets scheme a success," Angela Knight, chief executive of the BBA said.

"As the committee acknowledges,   we are already making significant efforts to reunite customers with funds in dormant accounts ," Ms Knight added

Now why do I find that difficult to believe?

 

[Barman]

In response, the British Bankers' Association (BBA) said its members welcomed the government's plans for unclaimed assets and that banks were already making efforts to reunite customers with their cash.

"Our members are fully committed to working closely with the government to make the unclaimed assets scheme a success," Angela Knight, chief executive of the BBA said.

"As the committee acknowledges,   we are already making significant efforts to reunite customers with funds in dormant accounts ," Ms Knight added

Now why do I find that difficult to believe?

 

Agree Uncle? roughly translated in bankspeak to ?we have the money invested on the money markets and making no efforts whatsoever to find the rightful owners??

This whole story stinks and is just another case of government spin. ?400M is nothing compared to the outrageous amounts the government wastes every year?
 

[Grumpmeister]

In response, the British Bankers' Association (BBA) said its members welcomed the government's plans for unclaimed assets and that banks were already making efforts to reunite customers with their cash.

"Our members are fully committed to working closely with the government to make the unclaimed assets scheme a success," Angela Knight, chief executive of the BBA said.

"As the committee acknowledges,   we are already making significant efforts to reunite customers with funds in dormant accounts ," Ms Knight added

Now why do I find that difficult to believe?

 

Actually I suspect that probably have been. At least since they first heard about the government considering this as they'd be worried about being sued by the account holders.

[Barman]

Nine billion Pounds they?re planning to waste spend on the Olympics yet have to resort to stealing ?400M form its rightful owners to fund ?youth projects???? Beggars belief that they can have the nerve to come out with it?
 

[Snoopy]

Gordon did announce this some considerable time ago ~ in one of his many policy announcements made when everyone in the Commons was at lunch or asleep. I understand that Cameron supports the idea. ~ So nothing new there then.

[Barman]

Gordon did announce this some considerable time ago ~ in one of his many policy announcements made when everyone in the Commons was at lunch or asleep. I understand that Cameron supports the idea. ~ So nothing new there then.

Cameron is a complete waste of space ? how long before he goes? 

[Grumpmeister]

Nine billion Pounds they?re planning to waste spend on the Olympics yet have to resort to stealing ?400M form its rightful owners to fund ?youth projects???? Beggars belief that they can have the nerve to come out with it?
 

Its an excuse to grab money that at the present time can't be taxed and is accruing interest pure and simple.