A few days ago I strolled into the local bank, overdraft slip in hand looking for a manager. I did the same thing last year and will probably do it again next year. I opened an account at this particular institution for one reason: Safe Deposit box. Every year the charge for the box comes out (it’s like $80) and every year I forget to put money in the account to cover it. I got the fee waived, gave them $100 cash to cover the box for another year and set a reminder in my phone to pay the thing 11 months from now. All that stated I am thankful that I have a box inside a bank safe and here a few reasons why.
Off Site Location
One of the primary reasons I have the box is in case of fire. Maybe I’m in town or maybe something else happens and the house burns to the ground. I have items in a safe, within a safe at the house but there are absolutely no guarantees. Having critical paperwork in an off site location ensures that no matter what happens I should have (unless zombies) access to backups.
Relatively Cheap
$80 a year for a medium size box which can fit quite a bit in there. Not that I’m going full Jason Bourne with firearms, multiple passports and stacks of cash but for a few bucks a month you definitely have the room to stack inside the deposit box.
Limited Access
I’ve got a key, someone at the bank has a key. Nobody else is getting in there without picture ID and the key, I definitely can appreciate that. It’s a little bit more secure than having a storage unit off site where anyone with some bolt cutters could access, assuming some other factors lined up.
What’s in the Box??
I suppose it’s up to personal preference but I have lots of critical paperwork in the box, most of which is mirrored in the safe at my home but it’s nice to have redundancy. Note for the house, military paperwork, life insurance stuff, copies of diplomas and other certifications, licenses and passports and more. I also have a hard drive with digital backups of everything on it which I have to update yearly.
Final Thoughts
There are fireproof safes out there but I like an off site safe deposit box as yet another form of redundancy just in case things go sideways. Their relatively cheap pricing and the security that they offer (while not a 100% solution in every instance, still pretty quality) definitely make them worth looking into. Let me know your thoughts in the comments below.
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Another practical post. Thanks.
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Thanks much David
To each his own! Personally I don’t trust any bank farther that I can pick one up and throw it! I have a debit account because it’s almost impossible to function in this society without some form of credit, but I keep a minimal amount in it. Even so, twice someone (maybe a bank employee) has stole money from that account despite their ‘security procedures’. If you think your safe deposit box is secure from, say the government, think again. They make (and enforce) the laws as they please! My advice is to not put anything in that box that you can’t live without. GLAHP!
Forgot to add: do you really think the banks will be open in a SHTF situation?
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I’m quite sure in a massive SHTF situation banks wouldn’t be open but that’s not the reason why I got the box. I’ve always stated localized natural disasters are what we should prepare for / prioritize for. Understanding that fire is one of the greatest threats where I live, having backups of essential documents at a bank miles away seems to make sense. There is not one piece of paper in that box that the Gov’t couldn’t access electronically if they wanted to…sometimes you just have to realize that and move on.
Years ago, a financial adviser suggested that we get 1 credit card at a bank, with our savings and checking in that bank. Then get a DEBIT card at an entirely different institution, and fund that debit card with, say, $500. Then use the debit card for all our internet transactions – Amazon purchases, tickets for travel, etc. That way, if the “internet account” card gets hacked, we’d only lose a small amount (and probably get reimbursed by the bank), as opposed to the “main” credit card somehow gaining access to the checking and savings accounts. It’s worked so far.
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Good call Rusty.