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#839518 - 10/22/07 02:36 PM confirmation letter for dormant accounts
butercup Offline
Junior Member
butercup
Joined: Aug 2004
Posts: 31
Could someone provide me with a sample positive confirmation letter used for dormant accounts? PM me and I will get you my email address.

Thanks

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#839736 - 10/22/07 06:18 PM Re: confirmation letter for dormant accounts butercup
califgirl Offline
Diamond Poster
califgirl
Joined: Mar 2002
Posts: 2,355
The O.C., California
In my experience, accounts become dormant when the bank no longer has good contact information for the customer.

Where are you going to send the confirmation letter?
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#839885 - 10/22/07 07:59 PM Re: confirmation letter for dormant accounts califgirl
Countess Kiwi Offline
Diamond Poster
Joined: Jun 2002
Posts: 1,815
Minnesota
That isn't always the case. Accounts usually become dormant due to inactivity and the time period depends on state law or bank policy.

I am no longer at my old bank so I don't have a copy of the dormant letter that I used. Are you going to use a confirmation letter to reactivate those accounts? Or are you verifying that the person actually did the transaction. If so, I would use a standard positive confirmation letter. You might be able to find one on Auditnet or in an audit manual. That way you know the customer is aware of the account and/or you can verify the signatures to ensure they completed the transaction.
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Do what you can, with what you have, where you are.
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#839887 - 10/22/07 08:00 PM Re: confirmation letter for dormant accounts Countess Kiwi
Countess Kiwi Offline
Diamond Poster
Joined: Jun 2002
Posts: 1,815
Minnesota
Oops...just read your entry again. Do you have the ICBA Audit manual? I know there used to be one in there. Or, you could contact your external auditors they would have one for you to use.
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Do what you can, with what you have, where you are.
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#840039 - 10/23/07 12:03 AM Re: confirmation letter for dormant accounts califgirl
Jokerman Offline
10K Club
Joined: Nov 2003
Posts: 12,846
Originally Posted By: califgirl
In my experience, accounts become dormant when the bank no longer has good contact information for the customer.

Where are you going to send the confirmation letter?


Goes back to the definition of "dormant" - to me, it's kind of silly to classify something as dormant when the account statements aren't being returned, but I guess some states aren't of the same opinion. It doesn't help, though, that a lot of people aren't clear on the differences between "inactive", "dormant", and "lost contact" - nor the legal issues surrounding them. I know I certainly wasn't the first time I was assigned to audit them.

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