Jersey Dormant Accounts Law Could Cut Admin Burden For Local Banks

A new law in Jersey could offer banks a welcome opportunity to cut administration and liabilities for 'forgotten' accounts, says Ogier banking specialist Edward Scott.

Banks may soon be able to close dormant bank accounts by depositing the account balance into a central fund. Any money that is not reclaimed from the fund will be used for charitable and social purposes.

The Dormant Bank Accounts (Jersey) Law 201- is the subject of a government consultation, which is open for comment until 30 September 2015.

Ogier Managing Associate Edward Scott said: "Jersey banks will welcome this new law as it will be an opportunity for them to cut administration and liabilities for accounts where contact has been lost with the customer."