Lost accounts first from Halifax

Halifax has become the first UK bank to sign up with the Unclaimed Assets Register (UAR), which is operated by Experian.

The move comes as Halifax appoints Experian as its search agent for the holders of Dormant Accounts.

Reuniting Customers

In February this year the three savings brands of HBOS – Halifax, Birmingham Midshires and Bank of Scotland – announced that they would be proactively seeking to reunited customers with forgotten money left in savings and bank accounts, ahead of the Government's dormant account scheme. This new announcement will add to the range of activities and greatly increase the number of customers reunited with their money.

So far the programme has launched

websites for each brand enabling customers to make enquiries about forgotten accounts

press advertising

mailings to customers proactively where it is believed a correct address is held

Halifax has now taken the additional step of employing a tracing agent to seek out those customers with whom contact has been lost. Experian, the global information solutions company, will search for these customers on behalf of Halifax. Halifax will then notify the customers that they may have funds in an account that they had lost or forgotten about. The cost of these searches will not be passed on to customers, instead the costs of the exercise will be met by Halifax. By appointing Experian, it is anticipated that the success rate for locating these missing customers will be significantly increased.

In addition to these activities, Halifax will also register details of these dormant accounts on the Unclaimed Assets Register. This move is a first by any UK bank or building society. By registering with the UAR, a new avenue has been opened up, enabling those people accessing the register to identify Halifax accounts they hold but have lost track of.

It is anticipated that details of the proceeds from the sale of unclaimed shares relating to the demutualisation of Halifax Building Society and the acquisition of Birmingham Midshires will also be added to the UAR later this year.

Dormant Accounts

HBOS has approximately £50 million in dormant accounts, relating to around 110,000 customers. Of this total, around £44 million is held in Halifax accounts. These accounts have been inactive for at least 15 years and many no longer have the correct address held, so contact with the customer has been lost. Under Government proposals these funds would be taken in to a central fund and used for worthwhile causes, though customers would still be able to come forward and claim them. The expectation from the Government is that all banks and building societies will try to reunite customers with their money before the scheme is launched. Halifax is the first provider to launch its reunification programme.

Mike Regnier, head of savings at HBOS, said, "We are delighted to have appointed Experian as our tracing agents. Their expertise in this field will enable us to locate the owners of far more accounts than we could reasonably achieve through our own enquiries."

Keith Hollender, Managing Director of Experian's Investment and Professional Services and founder of the Unclaimed Assets Register, commented:

"HBOS has taken a significant step in tackling the issue of dormant accounts and should be applauded for being the first to make such a proactive move to trace owners at no cost to them."