What to Put in a Safe Deposit Box and What to Leave Out

A safe deposit box is a secure, private container typically located within a financial institution’s vault, offering a protected space for valuable possessions and important documents against theft, fire, and natural disasters. Renting a safe deposit box is a service provided by banks or credit unions for an annual fee, which can range from $15 to $500 depending on the size. This service allows individuals to secure items that require a higher level of protection than what a home might offer.

Valuable Documents and Keepsakes

Safe deposit boxes are well-suited for storing items that are difficult or impossible to replace and are not needed for immediate or frequent access. These include original personal identification documents such as birth certificates, marriage licenses, divorce decrees, and adoption papers. These documents are crucial for proving identity and legal status, and are challenging to duplicate. Passports can also be stored here if not used for regular international travel, safeguarding them from loss or theft.

Property deeds, vehicle titles, stock certificates, and bonds are also ideal for a safe deposit box, as they serve as proof of ownership for significant assets. Military discharge papers, such as a DD-214, are important for veterans to access benefits and should be securely stored. Important contracts also benefit from the enhanced security of a bank vault. Beyond documents, irreplaceable valuables like heirloom jewelry, rare coins, stamp collections, and valuable family photos or negatives are good candidates for storage. These items possess high monetary or sentimental value, making their protection a priority.

Items to Keep Elsewhere

Certain items are not suitable for storage in a safe deposit box due to potential access issues. Original wills, powers of attorney, advance healthcare directives, and living wills should be kept in a location that is easily and immediately accessible. If stored in a safe deposit box, they may be inaccessible during non-banking hours or emergencies. Alternatives include secure home safes, or entrusting them with an attorney or trusted executor.

Storing large sums of cash in a safe deposit box is not advisable. Cash kept in a safe deposit box does not earn interest, unlike money held in an insured bank account. The contents of a safe deposit box, including cash, are not insured by the Federal Deposit Insurance Corporation (FDIC), which applies only to deposit accounts, such as checking or savings accounts. Everyday items like spare keys, extra credit cards, or frequently used documents do not require the extreme security of a safe deposit box and can be inconvenient to access. Illegal items or hazardous materials are prohibited from being stored in safe deposit boxes.

Managing Your Safe Deposit Box

Accessing a safe deposit box requires specific security procedures. Individuals must present identification and use a dual key system, requiring both the customer’s key and a bank key to open the box. This process occurs only during the financial institution’s operating hours, limiting immediate access.

Designating authorized users, such as co-renters or deputies, is an important consideration for safe deposit box management, especially for estate planning. Adding someone to the rental agreement can ensure they have access to the box’s contents if the primary renter is unable to. Without proper authorization, heirs may face delays and legal complexities, including potential probate court involvement, to access the box after the owner’s death. When adding an authorized user, both parties typically need to visit the bank and sign the rental contract.

Maintaining a detailed and up-to-date inventory of the safe deposit box’s contents is a prudent step. This inventory should include descriptions, serial numbers, and photographs of items. It is important to store this list outside the safe deposit box itself, perhaps in a secure home safe or digital cloud storage, to ensure it is accessible when needed. Regarding insurance, the contents of a safe deposit box are generally not insured by the financial institution. Individuals should review their homeowner’s or renter’s insurance policies to determine if off-premises coverage exists and consider purchasing a separate rider for high-value items to ensure adequate protection. In the event of bank closures or mergers, the institution is obligated to notify box holders and facilitate the transfer or retrieval of their contents.