Most banks are increasingly withdrawing from providing safe deposit box facility, a fact which has made many people who need this service to opt for the private safe deposit box facilities. However, not all banks have pulled out from offering a safe-box service for its customers.
At this point, Safe Deposit Center decided to provide information about a few significant differences between a private safe deposit box and a bank provided vault.
All Banks give the safe box service to its existing customers who already have accounts in the bank. All bank customers give out their private information when opening accounts, which means that the banks have access to all your data. This means that, if you hold a safe deposit box in a particular bank, then they know it and can stop you from accessing your box in case of any arrears.
Private Vaults only need your photo ID and address proof for you to use their safe deposit box. The private vaults have no access to your confidential financial details. This also means that you are the only one who knows that you got a deposit box with them.
Banks give very time-bound access to the safe deposit box you got with them. It is usually during the bank opening hours, and many times it is Monday to Friday.
Private Vaults offer seven-day access to your safe deposit box, and they will give you more extended and late opening hours within the week.
- Box Size
The size and choice of boxes that banks offer are very limited, and you have to choose either a small one or a little large box. You will also have to select pricing which ranges from being reasonable to expensive with no other options.
Private Vaults offer a large selection of box sizes and have safe deposit boxes with varied sizes for all budgets.
- Client Access
Banks generally require that you give them an advance notice informing when you need to access your safe box. They also ask for your photo ID on every visit. You may get restricted in some banks on the number of visits to access your safe box in a year.
Private Vaults in most cases only require the access card, which they gave you at the time of opening your safe box. Here you don’t need to inform in advance, and many of them offer unlimited access to your box.
- Box Contents
None of the Banks allow storing cash in their safe deposit box, which you got in their branch. Generally, it is most of the times explicitly mentioned in their rules.
Private Vaults do not restrict the contents of their safe deposit box. Whatever is in the boxes is entirely private, and you can even store cash.
Banks require that the contents of your safe deposit box get placed on your home insurance policy. They do not offer protection on your safe deposit box which increases your home insurance policy cost.
Private Vaults offer a full insurance cover for the contents of your safe deposit box leading to a lower premium on home insurance policies.
After looking into the pros and cons of both, the final decision will highly depend on what best works for you. It is however clear that Private Vaults focus on the safe-keeping business, making it the best option for the majority.