PEACC

PEACC: Your Unclaimed Property Compliance Experts

Property Escheatment And Compliance Consulting (pronounced “Peak”) has been the trusted name in unclaimed property (UP) compliance since 2002.

We help companies—from banks and manufacturers to retailers and service firms—navigate the complex, aggressive landscape of state UP reporting requirements. We pride ourselves on delivering the best solutions with the most economical fees.

Stop Worrying About Fines. Start Achieving Compliance.

Unclaimed property is a serious compliance risk: States are aggressively enforcing laws because it’s a vital revenue source. With an estimated 70% of companies non-compliant or under-compliant, the time to act is now.

Whether you’re a first-time reporter or an experienced holder facing an audit, PEACC offers a solution that fits your company and your bottom line.

How PEACC Solves Your Unclaimed Property Headaches

We offer a total suite of UP compliance services, providing the knowledge, experience, and tools needed to eliminate risk and achieve full compliance.

1. Voluntary Disclosure & Initial Compliance (VDA)

• The Problem: You’ve never reported, filed sporadically, or know you have past-due property. You are at risk of an immediate audit.

• The Solution: We guide you through an initial compliance review and assist with Voluntary Disclosure Agreements (VDAs). By coming forward voluntarily, we help you alleviate potential fines and penalties for past property and ensure you only report what is legally due—avoiding costly over-reporting.

  • Act Fast: Once selected for an audit, the VDA opportunity is lost. Thousands of audit letters are being issued weekly.

2. Audit Defense & Advisory

• The Problem: You have been selected for a dreaded State or third-party audit, or a “Self-Audit” letter has arrived. Audits can last for years.

• The Solution: Leverage PEACC’s years of experience and state relationships. We provide reliable and accurate audit defense procedures and recommendations to secure the best possible outcome. Need a second opinion on an existing audit? Call us.

3. Co-Sourced Reporting & Due Diligence

• The Problem: You have the data, but you lack the expertise or time to file correctly—how, when, where, and in what format?

• The Solution: We review your files, negate potential audit triggers, and generate all reports in the required NAUPA II electronic formats using proprietary software. We also manage the state-mandated due diligence/search letter generation to ensure guaranteed report acceptance and compliance with all state deadlines.

4. Risk Assessment & Policy Review

• Cursory UP Review: We recommend a full review of your past reports and procedures every three years, especially after employee turnover, to ensure reporting accuracy and full compliance.

• Policies and Procedures: Auditors always request a company’s UP policies. We will customize State and State Auditor-standard policies and procedures to eliminate a common audit deficiency.

5. Research, Training & Support

• Custom Compliance Manuals: Get a user-friendly manual customized to your reporting states, complete with a 24/7 PEACC Compliance Hotline for timely, accurate advice.

• On-Site Training: Stop wasting your budget on costly individual registration and travel fees. We come on-site to train your entire staff on compliance expectations for one economical price.

• Compliance Research: Free up your short-staffed team. We perform cost-effective research on complex “grey” areas like B2B exemptions, allowable deductions, and search letter requirements.

PEACC: “Where Unclaimed Property Consulting Doesn’t Have to be Expensive – Just Good!”

Contact us today to discuss your compliance needs.

For further information or questions, please contact PEACC.com at 410.303.5510 or email info@peacc.com

info@peacc.com
410.303.5510

The basic components of a due diligence letter include:

1. a statement that the unclaimed property will be reported to the State if the Owner does not respond;
2. a statement of property type;
3. a statement that the Owner can always reclaim the property from the State;
4. a statement of the date by which the owner must respond back to the Holder in order to claim the property;
5. and the name, address, email and phone number of the Holder contact person on the letter.

A typical State due diligence statute includes the following: The Holder has an address in their records for the apparent Owner and the records do not indicate that the address is bad or inaccurate. (some State statutes say an address where “mail can be delivered”). The claim of the apparent Owner is not barred by any other law of this State (child support/delinquent taxes). The value of the property is at least ____ dollars [$____]. In most States the due diligence amount corresponds with the State’s aggregate amount. So if a State has an aggregate amount of $50.00, then the Holder would only need to perform due diligence on property items valued over $50.00.

There are about a dozen or so States that require certification that the due diligence was done. This is normally fulfilled when an Officer of the company signs the State affidavit/verification & checklist.

There are a few States, where under certain situations, require the Holder to send out their search letters Certified Mail, and in some cases this mailing cost is deductible. These States include Iowa, New York, New Jersey and Ohio. Please refer to each State’s individual statutes for further information.

Although most States do not allow the cost of the search letter mailings to be deducted (it is considered the “cost of doing business”), California, Illinois and Nevada are three States where the Holder may deduct the cost of these mailings. Please refer to each State’s individual statutes for further information.

The Holder checklist for due diligence should include the following prior to any mailing.

1. Has the Owner increase or decreased the account?
2. Has the Owner contacted the Holder about the account?
3. Has the Owner indicated an interest in property?
4. Does the Owner have any other accounts with the Holder?
5. Is the Owner a current employee of the Holder’s?
6. Is the Owner a well-known individual business or government entity?

How long should the Owner have to respond to the search letter?

Some States prescribe a specific time period. Some States say 30 days, where others say 60. Some States say until October 1 before a November 1 report due date. Others actually suggest to “allow enough time for the Owner to respond”.

Are there audit concerns for non-compliant due diligence?

Yes. All Holders need to keep documentation to verify due diligence was performed and also keep a copy of what the actual letter looks like and says. Some State statutes now allow for penalties for due diligence non-compliance.