Unclaimed balances

• Unclaimed balances

  Credits or deposits of money, bullion, security or other evidence of indebtedness of any kind, and interest thereon with banks, buildings and loan associations, and trust corporations, where the person is known to be dead or has not made further deposits or withdrawals during the preceding ten years or more
• Unclaimed balances, together with the increase and proceeds thereof, shall be deposited with the Treasurer of the Philippines to the credit of the Government of the Republic of the Philippines to be used as the National Assembly may direct
• Banks, building and loan associations, and trust corporations

  Institutions defined under Section two, thirty-nine and fifty-six, respectively, of Republic Act Numbered Three Hundred Thirty Seven, otherwise known as the General Banking Act, as amended, whether organized under special charters or not
• Reporting of unclaimed balances

  1. Banks, building and loan associations, and trust corporations shall forward to the Treasurer of the Philippines a statement, under oath, of their respective managing officers, of all credits and deposits held by them in favor of persons known to be dead, or who have not made further deposits or withdrawals during the preceding ten years or more

  2. The statement shall be arranged in alphabetical order according to the names of creditors and depositors, and show the names and last known place of residence or post office addresses, the amount and date of the outstanding unclaimed balance, the date when the person died or made their last deposit/withdrawal, and the interest due
• A copy of the sworn statement shall be posted in a conspicuous place in the premises of the bank, building and loan association, or trust corporation concerned for at least sixty days from the date of filing thereof
• Immediately before filing the sworn statement, the bank, building and loan association, and trust corporation shall communicate with the person in whose favor the unclaimed balance stands at his last known place of residence or post office address
• Escheat proceedings

  1. The Solicitor General shall commence an action in the Court of First Instance where the bank, building and loan association or trust corporation is located, joining the bank/association/corporation and all creditors/depositors as parties

  2. The court shall hear all parties and if the unclaimed balances are determined to be unclaimed, shall render judgment in favor of the Government declaring the balances have escheated to the Government and ordering the bank/association/corporation to deposit the balances with the Treasurer of the Philippines
• The court shall have full and complete jurisdiction over the unclaimed balances and persons claiming any interest in them
• If the bank/association/corporation fails to file the required sworn statement, they shall pay a penalty of 500 pesos per month of default
• Any bank/association/corporation that deposits unclaimed balances with the Treasurer of the Philippines shall not be liable to any person for the same, and any action brought against them shall be defended by the Solicitor General without cost to them
• Escheat

  When a person dies intestate, seized of real property in the Philippines, leaving no heir or person by law entitled to the same, the Solicitor General or his representative in behalf of the Republic of the Philippines, may file a petition in the Court of First Instance for the estate to be declared escheated
• The publication of the list of unclaimed balances is intended to safeguard the right of the depositors, their heirs and successors to due process