Here's What Happens When You Don't Touch Your Bank Account for Years

Some people are in their bank accounts every day -- checking balances, moving cash around, chasing bonus offers, or lining up bills to pay. Others open an account, stash a little money, and let it sit dormant for years.

That might sound harmless, especially if you've moved on to a better bank or a higher-paying account. But letting an old account sit completely idle for years can actually cause problems -- and in some cases, you could lose track of your money altogether.

Here's what really happens when a bank account collects too much dust.

Banks don't love inactivity

A little inactivity won't cause issues. If you log in occasionally or make even a tiny transaction -- like depositing $10 every few months -- you're fine.

But if years go by without a single deposit, withdrawal, or transfer initiated by you, your bank may eventually label the account as "inactive."

Even if your savings account is earning interest, those passive earnings usually don't count as activity. Most banks want to see real user-initiated movement to keep the account officially active.

Once your account becomes dormant for too long, the bank can start the process of closing it.

Typically, they'll try to notify you by mail or email. But if your contact info is outdated, or you've moved and forgot to update your address, that notice might never reach you.

What happens to your money if the account is closed?

If your bank can't confirm where to send the funds, they won't just hang onto your money forever. Eventually, it may be handed over to the state under escheatment laws.

Basically, your money becomes unclaimed property.

There are still ways to claim the money later. But it does mean jumping through some hoops to get it back.

Looking to avoid this completely? Switch to a high-yield savings account you'll actually use. Top accounts right now are paying upwards of 4.00% APY on savings.

Think you might have an old account? Here's what to do

It's estimated that 1 in 7 Americans have unclaimed money waiting for them.

If it suddenly hits you that you might have an old bank account with a few hundred bucks in it, don't panic -- but don't wait too long, either.

Start by calling the bank directly. They'll usually ask for some personal info (like your Social Security number or former address) to locate the account. If it's still active, great! You can transfer or withdraw the funds and bring them back into your current financial system.

But if the account has already been closed and handed off to the state, you'll likely need to go through your state's unclaimed property website or use MissingMoney.com to file a claim and retrieve your funds.

The bottom line

Neglected accounts aren't just left for decades -- they can be shut down, and the money inside might be harder to recover than you think.

The best move is to simplify your finances: Keep only the accounts you use, close the ones you don't, and set up recurring transfers to prevent dormancy.

And if you want your money to keep earning real interest in the meantime, use a savings account that pays you back generously and keeps things simple.

Check out the best high-yield savings accounts with APYs around 4.00% and get your cash working again.