After finding unclaimed money, many individuals are wondering if they can now invest the money that has been out of their possession for some time. To invest unclaimed cash is nothing new. Many states use the practice to fix monetary holes in their over strained budgets. Sadly, the practice isn’t very popular with the public. If you have recently found money and it’s now burning a hole in your pocket, here are a few reasons why you may want to keep your unclaimed cash invested.
The States Invest Unclaimed Cash
Quite a few states keep unclaimed cash invested in any given amounts, usually in high-interest savings accounts, in order to bring new revenue to their faltering treasuries. This works out because the state doesn’t have to use its money, it can invest unclaimed cash that belongs to the hard-working men and women of the state. Is the practice legal? Well, there has been at least once lawsuit where recipients of unclaimed money in Wisconsin tried to prevent the state from keeping their unclaimed cash invested. So far, however, other states continue to invest the money and it continues to work out for many government offices that desperately need the extra money in order to remain solvent.
Now, back to the question of whether or not you should invest unclaimed cash. If the states can do it, so can you. The reason most people don’t keep their unclaimed cash invested is because the moment they get their hands on it, the money becomes irresistible to spend. They suddenly need a new wardrobe, smartphone, vacation or car. Instead of trying to invest unclaimed cash and making a return on their original investment, they opt to buy the next biggest and flashiest thing they can get their hands on.
Don’t be like one of those people and be more like the states that are smarter with their money. Keep unclaimed cash invested the moment you get it back. You haven’t had it for quite some time; a few more years won’t hurt you. You’ll have more money than you originally found, especially if you use a high-interest savings account, and you’ll be able to feel good knowing that, instead of being impulsive and going broke quickly, you managed to practice sound will-power and resolve.