For those that still choose Safe Deposit Box over Safe

For those that prefer a Safe Deposit Box over a proper safe in the home, take a look at this article.

http://abcnews.go.com/GMA/story?id=4832471&page=1

Then tell me if you still think that a Safe Deposit Box is better.


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Not-So-Safe-Deposit Boxes

San Francisco resident Carla Ruff's safe-deposit box was drilled, seized, and turned over to the state of California, marked "owner unknown."

"I was appalled," Ruff said. "I felt violated."

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I still think it's safer. Nothing is 100% safe in life, but I would guess that more coins have been lost through fire, flood, tornado, earthquake, hurricane, theft, and other household disasters than have been siezed by the states.

 

I agree, only I'd add "much" before "safer".

 

Really interesting news story.

 

The comments from people who have gone through similar events are interesting as well.

 

I was thinking of getting a home safe . The kind you could bolt to the basement floor or whatever , or maybe a big riflle safe . ANY OPINIONS ? rzage

 

One thing I will share about safe deposit boxes, choose one that is in a vault, not outside of the vault somewhere on a wall in the bank, like some I have seen recently.

 

And check around...shop your banks first. I used to have one, but left in disgust when I realized they were charging my to visit it. I would get two visits per year and after than they charged a vault fee every time I wanted to deposit of take something out. I didn't have much choice as it's the only bank in town with safety deposit boxes. I'd rather take my chances with my safe than pay the bank more fees than I have to.
Guy~

 

Holy cowabunga, I would be broke quick. I visit one of mine usually weekly. The others get looked at most once a year.

 

The story doesn't surprise me because of two main things...

1. It's California... by far one of the strangest states.
2. It's Bank of America... by far one of the most backwards banks.

 

It was BofA. How'd you figure that out? they like to charge for everything, and we don't have a choice here.
Guy~

 

My head-teller friend told me never to open a safe-deposit box. She said the state freeze the contents as soon as they are notified of the death. She said it can take years to get at it once the state freezes it. No thank you - I'll find my own safe place to store valuables.

 

I think that's a trend. Most new banks are not building SDBs when they build the bank, or so I was told when I stashed my stuff last week.

 

Well they're not immune to human error, but still the fact that this kind of thing makes the news shows you that percentage-wise it's not an especially common occurence. Good analogy is how almost every plane crash makes the news but not many car crashes do (at least not nationally, may be a minor local news story) unless someone famous was involved. Planes are far safer than cars, and if they weren't, it wouldn't be "big news" when one crashed.

If you get a safety deposit box though a reasonable precaution against this kind of thing is to check your box often; at least once a week or so. Not only can you catch something like thid faster if it happens, but you can outright prevent it... habitually checking your safety deposit box will make you more well known to the bank employees and make it less likely that they will accidentally mark your box as "abandoned, owner unknown." However don't be too predictable, as having a predictable routine isn't a very good idea, security-wise. Maybe pick two random days a month to take a look at your box.

BTW if any bank charges you a fee to look at/put things in/take things out of your box, find another bank. Most banks only charge you an annual or monthly fee to rent the box and let you access it as often as you feel like during bank hours without any additional fees.

 

Easier said than done when the only bank in town with boxes is doing the charging. Of course, that depends somewhat on how close the next town is.

 

I think for the most part safety deposit boxes are more secure than any home safe. There are some negatives. If you get in arrears to the IRS they can seize the contents of your box. If there is a judgement against you in a civil case the contents of your box can be liquidated to satisfy the obligation. If you die anything in the box that is passed on to your heirs is of course taxable. IMO you're less likely to suffer loss due to theft or natural disaster with a safety deposit box, but there is still some small risk of losing goods/value due to legal means or taxation. Overall I think diversity wouldn't be a bad call. If you have to go one way or another, I'd say the safety deposit box is still the safer of the two options.

Andy

 

It is fairly easy to put multiple family names on the box. Also, banks don't receive notification of death unless/until you bring them a death certificate. So if you die, it is fairly easy for any co-owners of the box to remove the contents.

 

As is so often the case, laws vary from State to State, and the comments about boxes being sealed on death are 100% accurate some places, and 100% wrong in others. California stopped that practice in 1982 when its inheritance tax was repealed.

 

Yes it is, the only time there is an issue is when the box was in one person's name only. Then in that case it is a problem, and it has to be handled through the courts. I was able to get into my parent's safe deposit box when I was 12, I had a signature card on file, since most of the contents were mine anyway.

 

I know from personal experience, I had to open two safe deposit boxes there in 2003 after a relative passed away. But, I was also a signatory on the rental agreement and it was easy.