I received a check from Goldman Sachs in December and forgot about it because I didn’t request to cash out anything. This week I received a letter from them saying checks that remain uncashed for a specified period of time become “abandoned property” and may be transferred to the state pursuant to state abandoned property laws. I called Goldman Sachs and they told me I was sent the check because my mutual fund no longer exists. They said since I didn’t transfer to another fund within 60 days I now have to pay a 4-5% transfer fee or I can just cash the check. My dad opened this account for me when I was a teenager (I’m now 40) and he has since passed. He told me to leave the money and let it grow and now I am being forced to do something with this money and I don’t know what. I have a Roth IRA with Vanguard & an IRA with Ameriprise. Any advice would be much appreciated. TIA
/r/Bogleheads/comments/1sh55yi/mutual_fund_no_longer_exists/
Posted by mrsrobot20
1 Comment
Cash the check. Take the money and deposit it in a brokerage account and reinvest. Since they distributed a check, I’m assuming it was an ordinary brokerage account (not an IRA or similar). You might owe capital gains on the distribution, depending on the circumstances. If you know the name of the fund you can look up what circumstances led to the fund’s dissolution and what portion of the distribution is taxable.