£78bn is missing in assets… and some of it may be yours!

A staggering £78 billion of unclaimed assets languish in long-forgotten bank accounts, pension pots and investment accounts.

The amount has risen to a record high, according to exclusive research for The Mail on Sunday from Gretel, an online service that reconnects people with lost and dormant accounts.

Nearly three in 10 British adults admit their money can collect dust in an old account, according to a survey by the company.

Banks, building societies, asset managers and insurers usually lose track of their customers if they are not informed of a change of address. It has created a mountain of lost money that experts now warn will only continue to grow, after a major service that helped people track their money closed last year.

Credit controller Experian closed its Unclaimed Asset Register, a database of members of the public who have unclaimed assets, as it was unprofitable despite charging £25 per search.

But with a little detective work you can easily and free of charge discover whether you (or your loved ones) have a hidden treasure chest.

Consumer website Money Saving Expert says: 'It's worth taking maybe ten minutes to see if you have such a windfall. It's free and easy to check online.'

Bank accounts can be declared inactive if a bank, building society or asset manager receives back letters it has sent to you – stating that you no longer live at this address.

This usually involves a period of inactivity – where you haven't touched any money – for one to five years.

To find out if you fall into this category – for both current and savings accounts (including money held by National Savings & Investments) – you can visit the government-backed website mylostaccount.org.uk.

The service is jointly funded by the banking sector UK Finance, the Building Societies Association and National Savings & Investments.

All that is required for a search is some basic information, such as your name (including previous ones in the case of marriage), your address (please include as many old addresses as possible) and your date of birth.

When it comes to tracking down old pensions from previous jobs that you may have forgotten about, you should use the Pension Tracing Service – at gov.uk/find-pension-contact-details. For investments, the Investment Association may be able to help you at theia.org. Or for investment trusts visit the Association of Investment Companies at theaic.co.uk.

Insurance policies can also sometimes be forgotten and fall through the cracks. The trade body, the Association of British Insurers, can help with a list of insurers and a tracking service at abi.org.uk/data-and-resources/tools-and-resources/tracing-an-insurance-policy.

Not all is lost: you can find investments, pensions and bank accounts through a free online service

Finally, if you haven't been able to come up with any money through your own sleuthing, a free service like Gretel's is a great place to go – you've got nothing to lose. The company makes its money by charging banks and other financial institutions to be included in its database.

You can also use the Gretel service to track down family, friends and deceased people.

Duncan Stevens, CEO of Gretel, said: 'At a time when every penny counts, these dormant accounts can be a lifeline. You must now reclaim what is yours.”

According to Gretel, the bulk of the lost money is in pension pots – worth around £40 billion. It is believed that as many as two million people have forgotten about their pension schemes, which would typically pay out at least £20,000 each.

Another ten million people have current and savings accounts with banks and building societies that were opened many years ago but are now inactive – with £4.5 billion spread across this large group of people, the average windfall someone would expect is £450.

It is believed that around two million people have shares worth £1,250 that have not yet been claimed, and a further 2.5 million people have a life insurance policy that pays out an average of £800 if the policyholder manages to track it down.

Child Trust Funds is another important area where money has been forgotten over the years – and the children are now adults. There are an estimated one million people worth a total of £2.2 billion – so an average of £2,200 each – with such Child Trust Funds.

The unclaimed amount of NS&I savings is relatively small at £60 million, but delivers an average savings of £40.