What is an Online Safety Deposit Box

A bill has been passed into law that makes electronically “signed” paperwork legally binding in the United States. While business owners are gladly jumping on the bandwagon to save time, money, and space on paperwork, these papers are piling up inside computers. These business owners are learning that having a computerized filing system can be just as much hassle as the paper version, and the documents are much more susceptible to loss and theft.

A virtual safety deposit box with a trusted bank can save hours of effort sorting through computerized files, making backups, and kicking yourself if your system takes out a few important documents. Virtual safety deposit boxes are secure servers owned by a bank, and “rented out” like a regular safety deposit box. They are usually designed to be available twenty-four hours a day using a password through the bank’s web site, much like online banking.

A user pays the bank for the rented storage space, and is allowed to upload their electronic documents. These documents are held on a secure server, and carry the legal weight of a copy. Whenever the user needs a document, he or she simply logs onto their virtual safety deposit box and downloads the file that he or she needs to access. The file is protected, and the user’s hard drive is not overloaded with documents.

Online banking has never been more convenient for business owners, and banks are working to keep it that way. With electronic transfers, online bill payments and online access to accounts, and now virtual safety deposit boxes, we may never have to go to the bank again.