Pennsylvania gets $20 million in uncashed checks — hard part is finding owners

(The Center Square) — An interstate saga that stretched to almost a decade finally came to an end as Delaware agreed to a settlement to send over $20 million back to Pennsylvania.

The settlement, which requires Delaware to pay out up to $120 million to 30 states, comes from a dispute over what to do with uncashed checks sent through MoneyGram. Delaware would keep the unclaimed property because MoneyGram was incorporated in the state, rather than send the money to the states where they were bought.

A 2023 Supreme Court ruling went against Delaware and required the money to be returned to the respective states where the MoneyGram was purchased, depriving Delaware of a significant revenue source for its budget.

Pennsylvania officials celebrated the news for its current and future payoff.

“This is a huge win for Pennsylvania consumers, and the right standard has been set for the future,” Treasurer Stacy Garrity said in a press release. “This settlement is the first step in getting that money back into the right hands. I’m proud of the legal team here at Treasury for leading the successful effort to establish this important precedent in national unclaimed property law.”

The settlement includes more than $6.3 million in uncollected MoneyGrams from 2023-2024, and $14 million that covers transactions back to 2011. That leaves the Treasury with a problem: The Treasury can’t identify everyone who is owed money on its own.

Getting that money back to the rightful owners won’t be simple or seamless.

The Treasury noted that anyone who bought a MoneyGram in the state since January 1, 2011 that wasn’t cashed should reach out with evidence of the purchase to patreasury.gov/unclaimed-property .

“Because the records received from MoneyGram include limited information, the best evidence would be a receipt showing the amount, the location where it was purchased, and the date it was purchased,” the Treasury noted.

Garrity pledged to get as much of those funds back to Pennsylvanians as possible.

“We’re going to do everything we can to return the money,” she said. “We’re gonna work with people as much as possible.”

For unclaimed property in other areas, Treasury wants to automate some claims to return the money to the public faster. Act 81 of 2024, signed into law in July, creates the Pennsylvania Money Match program to automate returns of property valued under $500.

Money Match won’t take effect until mid-January, but Garrity said the department is already preparing for it.

“We’re gonna be ready to send out the first batch of confirmation letters immediately, then send the first batch of Money Match checks by the end of February, then every quarter,” she said. “I think it’ll end up being $10-$20 million a year.”

If all goes well, the Treasury will press the General Assembly to raise the value limit up to $5,000 and then $10,000.