Safe Deposit Box 101

Think of your favorite heist movie, can you visualize the caper planning elaborate methods of acquiring the safe deposit box with rare jewels?

Financial Tip Friday is brought to you in partnership with the 1st National Bank of Dennison.  

Safety deposit boxes are still used in highly secured, locked bank vaults that are more protected than in movies.  1st National Bank of Dennison actually helps you protect your essential documents, collections, or valuables by offering safe deposit boxes at each of their 5 locations.  There are two sizes that you can choose from, large and small for an annual fee.  The contents of the box are not protected against loss by the bank, so talk to your insurance agent about how to get a policy on your valuables.

The Federal Deposit Insurance Corporation (FDIC) recommends to following essential documents to be stored in a Safe Deposit Box:

1. Birth/Death Certificate
2. Property deed(s)
3. Car title(s)
4. Will or Trust

FDIC stated the following objects could be kept in a Safe Deposit Box:

1. Valuable collections (stamps, coins, cards)
2. Family keepsakes (jewelry, watches)
3. Photos or videos of your home’s content for insurance reasons
4. Flash drive with important photos, documents, passwords to accounts

What not to keep in a Safe Deposit Box:

1. Cash. It is not protected by FDIC insurance and it cannot earn any interest as it could in a savings account, CD, IRA, stock market, 529 college plan or money market account.

Why keep items safe?

If you have a growing family and desire to keep items or documents safe to give your children when they graduate, get married, or have their own children this may be something to consider.  Another contributing factor of having a safe deposit box would be to protect your valuables in case there is home water damage, fire, or other loss.   This along with taking out insurance policies on the items gives the peace of mind that your valuables are safe and secure and where no home robbery can steal irreplaceable items.

• Check with your local bank to learn more about what type of safe box they offer and if they do not, check out 1st National Bank of Dennison to help meet your needs.