Safe Deposit Box Law and Legal Definition

A safe deposit box is the individually-secured container of a customer held in a bank vault. Safe deposit boxes are located in groups. Customers use a safe deposit box for storing valuable possessions like currency, precious metals, and documents. The bank charges a fee for this service. Customers rely on the security measures of the bank to protect his/ her valuables. Customers access the box with keys, pin numbers, or some other security measure. As the contents in a box are not known to a bank, The Federal Deposit Insurance Corporation does not provide insurance for a safe deposit box. When a customer dies without engaging an heir, on nonpayment of fees, the box is considered abandoned. The contents of the box are then transferred to the state’s unclaimed property for auction.