From the President's Desk...
Recently I wrote about the benefits of a safe deposit box, which you can rent from WCF in our Webster City location. This blog will focus on legal considerations of box rental that people frequently do not understand.
First, a refresher on the very basics. A safe deposit box can only be accessed by authorized individuals who are identified by bank staff and have their key. Anyone authorized to access the box must sign an access card documenting the date and time the box is retrieved. The bank, utilizing the renter’s key and a second bank master key, will unlock the box, give it to the renter(s), and provide that person(s) with a private room where the box is taken so that contents can be viewed, taken from, or added to. To ensure privacy is maintained, no bank personnel are allowed in the private room. Once viewing is complete, bank personnel will replace and lock the box for storage.
Once a box is rented, all keys to that box are given to the box renter. If the renter loses the keys, the only way to access the box and its contents involves the bank arranging a locksmith to drill the box in the presence of the box renter. This is a time-consuming and expensive process, with the cost borne by the box renter. Therefore, it is vital to always remain in control of all keys.
Keep in mind the contents of your safe deposit box are not FDIC insured. Any items requiring insurance must be covered by the box renter’s various personal insurance policies.
Many times, especially later in life or especially after a box renter’s death, relatives may need to retrieve contents from the box or end the rental relationship. Frequently, those individuals do not have established rights to enter the box. In those instances, the executor or administrator of the renter’s estate must provide documentation reflecting their authority to enter and/or close the box, including photo identification, a certified copy of the box renter’s death certificate, the renter’s last will and testament, and/or other probate court-provided legal documents as may be necessary. Unfortunately, that process can take time and be frustrating.
To make things easier, consider adding a deputy/signer who can access the box while you’re still living. You also can add a designee which is a person who can only access a box upon death of the renter. Again, it’s important these individuals know where to find your keys so the bank can avoid drilling the box.
Of course, if you have questions about safe deposit boxes, please contact our Webster City staff.
The Webster City Customer Service Team
