Should I keep valuables in a safety deposit box? What are my options?


“My jewelry has a strong sentimental value to me, which makes it irreplaceable.” (The subject of the photo is a model.) – Getty Images/iStockphoto

Is it safe to keep valuables in a bank safety deposit box? This seems like a silly question, but about a year ago I went to a local bank and read the rental agreement for a box. I read that the bank advises against people storing jewelry and coins in the safes, so I didn’t rent one. I remember the rep explaining that two keys were needed to open the box.

Are banks responsible for lost items? I imagine for privacy there are no cameras in the safe deposit box area. I have jewelry at home, but I don’t feel safe keeping it there. I keep hearing about tickets in my neighborhood. Am I rethinking this? Are there other options for protecting valuables? My jewelry has a strong sentimental value to me, which makes it irreplaceable.

insecure

Related: I have a “global” First World problem: Should I buy a $30,000 bracelet during a global pandemic?

Safe deposit boxes are best used to store important documents rather than items like your grandmother's diamond ring or pearl necklace.
Safe deposit boxes are best used to store important documents rather than items like your grandmother’s diamond ring or pearl necklace. – Illustration from MarketWatch

Safe deposit boxes have their drawbacks.

The Federal Deposit Insurance Corp. advises consumers Do not confuse safe deposit boxes with deposit accounts. The first is a bank-provided storage space, “whereby the contents, including cash, checks or other valuables, are not insured by FDIC deposit insurance if damaged or they steal,” the FDIC says. “Also, financial institutions generally do not insure the contents of safe deposit boxes. If you want protection for valuables in your safe deposit box or home safe, talk to your insurance agent owner or tenant to add coverage to these policies.

Safety deposit boxes are best used for storing important documents rather than items like your grandmother’s diamond ring or pearl necklace, and you should put cash in a checking or savings account where to $250,000 per account are covered by FDIC insurance. “Good candidates for a safe deposit box include originals of key documents such as birth certificates, property deeds, car titles, and US savings bonds that have not been converted to electronic securities,” advises the FDIC . “Other possibilities for the box include family mementos, valuable collections, pictures or videos of the contents of your home for insurance purposes and irreplaceable photos.”



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