What Is A Dormant Account And What Can I Do To Avoid The Dormant Account Fee?
An account that has not had any activity within 12 months from the date of the last activity is determined to be a dormant account. State law requires the Credit Union to send dormant account funds to the state after a certain period of time. Why are there dormant account fees? The Credit Union added the dormant account fee to the Fee Schedule because there are thousands of dormant accounts each year. Dormant accounts cost the Credit Union money to maintain because they have no activity. During our Annual State Exam in November of 2004, the State Examiner recommended that the Credit Union restructure our fee schedule to cover the costs of maintaining accounts such as these. When the overall expense to maintain the accounts was reviewed, it was necessary to add the fee. It’s easy to avoid a dormant account and the dormant account fee with Welcome Federal Credit Union – just make a deposit to the account, a withdrawal from the account, or transfer funds to or from the account at least on
