USPS — Unclaimed Money Orders
Statutory term: Unclaimed Money Orders
Overview
Key Statistics
Dormancy Periods
The dormancy period is how long property must be inactive before it is considered unclaimed and reported to the state.
| Property Type | Years | Notes |
|---|---|---|
| postal_money_order | 2 | USPS internal policy: uncashed money orders are escheated after approximately 2 years from issuance. The money order is then removed from the Outstanding Money Order Liability Account and funds are reported to states per 12 U.S.C. § 2503. However, USPS states money orders "never expire" and can technically be cashed at any time — the tension between these positions is unresolved. |
| postal_money_order_state_held | None | After escheatment to states, state dormancy and holding periods apply. Most states hold unclaimed property indefinitely, though some states have different retention rules. The funds become searchable through state unclaimed property databases. |
The escheatment process for USPS money orders is a two-stage system: (1) USPS holds uncashed money orders as a current liability for ~2 years, then escheats them per 12 U.S.C. §§ 2501–2503; (2) The state where the money order was purchased has priority to claim the funds. If purchase state is unknown, the funds go to the state where USPS has its principal place of business. Once with the state, standard state unclaimed property rules apply. Notably, the OIG found in 2012 that USPS was not consistently escheating funds to states — 98,948 in funds belonging to USPS were found still held by state treasuries from listings posted prior to 2007.
Finder / Helper Restrictions
Restriction Level: Moderate
Fee Cap: Varies by state after escheatment — While money orders are held by USPS (pre-escheatment), there are no federal restrictions on third-party helpers — the purchaser simply files Form 6401. After escheatment to states, state-specific finder fee caps apply (typically 5–10%). NAUPA warns consumers that searching is free through state unclaimed property offices and MissingMoney.com.
Solicitation Rules: No federal solicitation rules for USPS money orders specifically. After escheatment, state solicitation rules apply.