COMPLIANCE007 — Dormant Accounts and Returns

When money is deposited into an Xtrm company or personal wallet, it's identical to being deposited into a bank account — the funds now belong to the beneficiary. We notify the beneficiary of payment using the contact information provided by that company or individual. Xtrm holds funds in many global bank accounts on behalf of our customers and partners, and we're financially regulated in the same way traditional banks are regulated.

Funds in a wallet typically cannot be returned to the remitter, since they no longer belong to the remitter (or to Xtrm). Exceptions may apply when a clear and obvious error has occurred, and there is no unresolved dispute.

Having an Xtrm account go dormant, like with all financial organizations, happens occasionally. Nobody wants to see a recipient's money disappear, whatever the reason an account falls dormant. So while the money still belongs to the customer, Xtrm is required to hand it over to the state after a certain period of time — this is known as escheating an account. For accounts where we don't have a complete address, or where the account address is outside the United States, funds are escheated to the State of Florida, in accordance with the Revised Uniform Unclaimed Property Act.

How long before this happens?

Generally, a time frame of three to five years with no customer-initiated activity sends an account into dormancy. The exact amount of time depends on the state in which the account was opened.

Do you try to notify the account holder?

Yes. Before sending the account to the state, we try to notify the account holder. If the customer doesn't respond within a certain amount of time, the balance on the account is turned over to the state.

What happens if the account holder doesn't respond?

In a process known as "escheating" an account, we must turn over funds from the dormant account to the state treasury. Once the account is sent to the state, the funds are held as unclaimed property. To reclaim the money, the account holder must contact their state for instructions on how to get their money back, and complete and submit a claim form along with the necessary identification. They can visit unclaimed.org to start the process.

How can account holders avoid having their accounts go dormant?

1. Keep your contact information updated. Ensure your Xtrm account has up-to-date contact details, including email, phone number, and address. This ensures you receive any notifications before your account is escheated to the state. Note that reclaiming funds from the state could take months or even years.

2. Review your Xtrm account regularly. Check your account periodically for any funds, and consider transferring them if needed to avoid the risk of dormancy.

3. Create activity on your account. Log in periodically and make transfers or payments — regular activity prevents your account from becoming dormant.

What to do if you need assistance

If you have any concerns about your account becoming dormant, or about reclaiming funds that have been escheated, please contact our customer support team at support@xtrm.com for guidance.