After several years of inactivity, a property will be turned over to the government. Such properties are known as abandoned properties, and these properties will be handled by the abandoned property divisions of the government that are specifically created for identifying and claiming the properties for the government.
For a property to be considered abandoned, it should be dormant for at least two years. In this case, the property will be further managed by the abandoned property units that entirely focus on the collection, management as well as the dissemination of such properties.
Understanding Abandoned Properties
There are certain procedures for locating abandoned property in Israel and turning them to the government. After a property is registered as unclaimed, a stipulated amount of time should pass, before the property can be considered abandoned and turned over to the government.
After a property is deemed abandoned, the state divisions that manage the abandoned properties will channel the same to a state organization rather than the company or business that holds the property.
Some states allow the original owner or heirs to claim these abandoned properties for an indefinite time. However, some other states will claim the property as its own through a process called escheatment if the property is unclaimed by the owner for too long.
In most cases, the abandoned assets will be auctioned and converted to cash for keeping it conveniently and safely. Such assets can be used by the state for supporting its activities.
Types Of Properties
For locating abandoned property in Israel, it is important for you to be aware of the type of properties you can claim. They include land, unpaid wages, real estate, safe deposit boxes, life insurance policies, and securities held in financial accounts such as bonds, mutual funds and stocks.
Benefits Of Abandoned Property
The idea of your state or government taking control and possession of your bank account if you do not use it for some time does not sound very appealing. However, in fact, abandoned property laws are made and practiced for protecting people and their properties.
In some cases, turning the abandoned assets over to the government can be easier for the owners or heirs to claim them back. Otherwise, these assets will remain in the possession of a financial institution or other private organizations without anyone to claim them. But when the assets are turned to the government, the owners will be notified about the transfer which gives them an opportunity to claim them back.
If a property is dormant for a certain amount of time, it will be turned to the government. This could give the owners of that property a chance to claim it back.