College Loan Consolidation, Federal Loan Consolidation, Private Loan Consolidation, Student Loan Consolidation

America's Top Student Loan Provider

Free Money?
Let's turn now to some quick sources of cash that you may not know about. First of all, do you know that 26 million Americans are currently the legal and rightful owners of unclaimed property in this country—to the tune of $100 billion or more?

Well, by various estimates, $100 billion is held by state governments alone. New York state, for example, is holding about $6 billion worth of unclaimed money. The federal government also has many, many billions of dollars in unclaimed assets that it's holding onto— all just waiting to be claimed. The IRS has, in the most recent tax year, about $75 million dollars worth of un-cashed tax refund checks. Checks just came back, people moved, and nobody is clamoring to get their tax refunds. It is amazing to me. Other federal agencies also are holding money—FBIC, HUD, the Pension Benefit Guarantee Corp., the Treasury Department—along with individual banks, insurance companies, and other business institutions.

Now some of you might be asking: What is this unclaimed money? Where is this coming from? Well, here are some of the types of unclaimed money that are out there. Credit balances are one source. Let's say, for example, you had a credit card that you ever overpaid on. Ultimately the credit card company is supposed to send you that additional payment back.

It may take a while, but they will eventually get around to it. But what happens if you move in the meantime, or what happens if you really overpay because, say, you thought you would pay that $300 bill, and your spouse or significant other thought he would pay it, and you both wound up paying $300? The result would be a credit to your account of $300, and this is one of the ways in which unclaimed money initially gets generated.

At this point, some of you might be wondering, "How could anyone 'forget' about money that was owed to them?" Well, a couple of things could happen to cause all these sources of money to turn into unclaimed or abandoned funds.

First of all, you need to know there is a three- to five-year rule that applies to most of these funds. In essence, all the types of unclaimed property are guided by time limits. If a bank or some entity has something that they know is rightfully yours and if they have not been able to connect with you and give you the refund or the insurance policy that you're due from an inheritance or whatever, after three years in most states (up to five in others) the company is required by law to turn the money over to state authorities. Then it becomes the state's responsibility.

The state takes on the role of trying to reconnect you with that money. But then a second thing occurs that causes money to go unclaimed: somebody moves, someone changes his or her name (either through marriage or divorce), or somebody dies. In the latter case, money and property can easily go unclaimed when relatives simply don't know about the existence of a deceased person's assets and accounts.

This is a huge issue in the insurance sector because insurance policies are the single biggest area of unclaimed property. I've seen statistics suggesting that as many as 20 percent of all insurance policies go unpaid. One out of five policies! That's a huge amount of unclaimed funds.

In the insurance industry there is a thing called demutualization. Basically, what this means is that an insurance company has gone through a reorganization. A mutual insurance company has now become a publicly owned company. What happens in those instances is that that process of demutualization generates income because stock or cash is supposed to be paid out to policyholders. Even if the deal involves only stock, even that stock holding can mean dividend payments that are due to be paid out. So if you are a policyholder with a company that has gone through a demutualization or you are a beneficiary of an insurance policy with an insurer that has gone through demutualization, you may be owed money. In the past 20 years, numerous well-known companies have gone through demutualization, at least 20 really big companies as a matter of fact. Some of them include John Hancock Financial Services, Prudential, MetLife, and Manulife, to name but a few. So if you have an insurance policy with any of these companies, I would suggest you check it out, and try to find out whether or not money is due to you.


Article Title : Free Money?
Comment not found for this article.

Related articles
• Student Loans Are Free Money
• Refinance Your Student Loan, And Free Up Money For The Big Move
• Money Management Basics, Part 7
• Free Yourself from Financial Plague, Part 1
• Free Yourself from Financial Plague, Part 2

Share this story:
  • BlinkList
  • blogmarks
  • Digg
  • Facebook
  • Google
  • Sphinn
  • MySpace
  • NewsVine
  • Simpy
  • StumbleUpon
  • Technorati
  • E-mail this story to a friend!
  • Print this article!
  • Faves
  • Furl
  • Netvouz
  • Slashdot
  • Spurl
  • Yahoo! Buzz

EdFed introduces… Awareness… Learnal
At, EdFed, we proudly introduce 'articles on student loans' and 'Learnal - the journal to learn from', our free newsletter on student loan management, which is sure to keep you informed of the latest events and happenings in the student loan market. To receive your copy of the above just use the RSS feed below and add this to your "My Yahoo", blogs, newstickers, and other similar channels accepting distributable content.
Click here to sign up for our Weekly Newswire now!

How EdFed Helped others!
I want to thank EdFed for hanging in there with me. It has been greatly appreciated. thank you.
- John H.  Atlanta, GA
* Your Name: * Your E-mail Address:

We respect your privacy.
* Your Friend's name: * Your Friend's E-mail address:
Include a Message:
+ Privacy Policy

Student Loan Consolidation Info - How to Choose the Right Loan Company

This column is sponsored by Granted, America's top job search engine. The Career Resources column is presented by Granted, America's leading job search engine dedicated to getting people jobs.

Education is one of the most basic right of any human, but with the increase in prices and the costs involved in education this has made these rights turn into a privilege which very few can enjoy. Any normal person today in the whole of United States has to take an education loan at one point of time to pay for their education fees.

read more
Schools Will No Longer Receive Paper FAFSA Forms
(September 20, 2007)

news desk
Stafford Loan Payment Calculator
PLUS Loan Payment Calculator
Loan Consolidation Payment Calculator
Glossary of Terms
Loan Comparison Chart
Scholarship Search
One reason why borrowers fail to begin a federal loan consolidation application is that they are afraid they will not qualify. You need not worry; there are no credit checks or income verifications for our consolidation loans.
US School Directory
Comprehensive List of Schools at which EdFed Assists Students.
EdFed is a FFELP lender with lender identification number 834241.
© Copyright 2016 EdFed. All Rights Reserved.

Home · About Us · Contact Us · News · Sitemap
Career Advice · Tell a Friend · Privacy Policy · Resume Service
Resume Distribution Service · Post Resume · Job Search Course
Sign up for the latest news on student loans.
Email Address:
+ Most Recent Newsletter
+ Newsletter Archives