What Happens If a US Bank Account Is Not Used for a Long Time? A Comprehensive Guide to the Truth and Recommendations!

What Happens If Your U.S. Bank Account Hasn't Been Used for a Long Time? A Complete Guide with Practical Advice

With the development of globalization, more and more people choose to open U.S. bank accounts-for purposes such as studying abroad, working, investing, or managing cross-border funds. However, for some individuals, due to changes in life priorities or a temporary lack of usage needs, these accounts may remain inactive for long periods.

So, what happens if your U.S. bank account has been unused for a long time? Will it be automatically closed? Is your money safe? Today, we’ll dive deep into this topic, incorporating recent updates, and provide you with practical advice.

1. What Happens to a U.S. Bank Account That Is Not Used for a Long Time?

In the U.S., banks manage accounts based on their own policies and regulatory requirements. If an account remains inactive for a long time, the following situations may occur

1. Account Marked as Inactive

Most U.S. banks will flag accounts that have had no transaction activity for 6 months to a year as inactive. While the account won’t be immediately closed, certain restrictions may apply-such as limitations on large transfers or the suspension of specific services.

2. Inactivity Fees or Monthly Service Fees

Some banks charge inactivity fees or monthly service fees on dormant accounts. For example, major banks like Chase and Bank of America may begin deducting monthly fees if the account does not meet minimum balance requirements or lacks regular transactions. While these fees are typically small, they can accumulate over time and reduce the account balance.

3. Account Closure Due to Inactivity

If an account remains unused and the balance is zero or below the bank’s minimum threshold, the bank may eventually close the account after a certain period. For instance, Citibank states in its account terms that it may close an account after a period of inactivity, especially if the balance is zero and the customer cannot be contacted.

4. Funds Transferred to Unclaimed Property

If the account has a balance but remains inactive for years and the bank cannot contact the owner, the funds may be transferred to the state as unclaimed property, in accordance with U.S. law. Most states claim these funds after 3 to 5 years of inactivity. Although the money is not lost, the account holder must contact the state to reclaim it.

2. Recent News Banks Tighten Account Management Policies

In 2025, several U.S. banks have updated their account management policies, especially regarding dormant accounts

JPMorgan Chase adjusted its fee structure in early 2025, imposing a $10 monthly inactivity fee on personal accounts unused for more than 12 months.

Bank of America has emphasized in customer notifications that it will conduct security reviews on online accounts that have not been accessed for a long time, to prevent fraud.

The California State Controller’s Office reported in mid-2025 that over $2 billion in unclaimed assets were returned to rightful owners in the past year, with a significant portion coming from forgotten bank accounts.

These updates serve as a reminder that even dormant accounts should be monitored to avoid unnecessary losses or complications.

3. How to Avoid Account Closure or Fund Transfer

If you currently hold a U.S. bank account but aren’t using it, consider the following steps to protect your account and funds

1. Log In to the Account Periodically

Even without making transactions, log in to your account at least every six months to check for unusual activity or fee deductions. This also helps keep the account active.

2. Maintain a Minimum Balance

Keep a small balance e.g., over $100 in the account to avoid closure due to zero balance and prevent the account from being classified as unclaimed property.

3. Understand Your Bank’s Policies

Each bank has different rules regarding inactive accounts. Visit your bank’s official website or contact customer service to understand the specific terms, especially those related to inactivity fees and unclaimed property.

4. Set Up Account Alerts or Automatic Transactions

You can set up small automatic transfers e.g., a few dollars monthly to another account to maintain activity. Also, enable balance alerts to monitor changes in real time.

5. Contact the Bank to Close the Account

If you no longer need the account, the safest option is to contact the bank directly and request account closure. Withdraw any remaining balance to avoid future fees or complications.

4. What to Do If You’ve Lost Track of Your Account

If you once opened a U.S. bank account but haven’t used it in years or even forgotten the details, don’t panic. You can

Log in to the bank’s official website to try and recover your account.

Contact the bank’s customer service with your identification documents to retrieve account information.

Visit the unclaimed property website of the relevant U.S. state to check if your funds have been reported. Most U.S. states operate unclaimed property databases, such as

California www.claimit.ca.govhttps//www.claimit.ca.gov

New York www.osc.state.ny.ushttps//www.osc.state.ny.us

You can search for and claim your funds for free through these platforms.

Conclusion

A long-dormant U.S. bank account does not become invalid overnight, but it does carry risks-such as closure, fees, or the transfer of funds to the state. With banks tightening account management policies in recent years, it’s more important than ever to pay attention to these sleeping accounts.

By regularly checking your account, maintaining a balance, and understanding your bank’s policies, you can avoid unnecessary issues. And if you no longer need the account, closing it promptly is the best solution.