Any Issues With Storing In Safety Deposit Box

Unless there are specific environmental factors (i.e. your bank is on a small island in the tropics) or your institution doesn't have a modern HVAC system, there's not too much to worry about. Keeping a fresh bag of desiccant in your SDB should keep your PMs in good shape.

Oh boy, this could get interesting. I'd say its one of the safest choices of storage, but there is no totally safe storage for PM.

Let me name a few of the (however remote) risks with a SDB, first its not insured, there could be a mission impossible type robbery and you are not insured by anyone, there could be a SHTF event where the bank closes and you can't get to it for a long time, such as 2-3 year loss of the whole US power grid due to an EMP event with complete shut down of world as we know it. Then there is the more normal type stuff, fire, flood, hurricane, tornado, nuke explosion, terrorist bombing, 747 crashing into the bank, general anarchy type take over usually associated with black outs and riots in the streets. Then there are the remote risks of some type of government confiscation. Sleep well.

The bank I used offer a small free SDB when you open a certian account, but I benn waiting forever. I ask the manager and was told that it was fire, flood proof. It can with stand bombs to some degree, I don't know what kind to break through and is environmental controlled. I have one that I keep important documents in it also.

I'm sure a pack of silica gel couldn't hurt

Also, keep in mind that bullion is very heavy and it may not be convenient to store large quantities in a SDB. Even a monster box of silver might be difficult. Obviously, not an issue issue if we're talking about a small amount, but unless that small amount is gold (as opposed to silver) it might not be worth storing it in a SDB in the first place.

Possible... but having my copy of the rental contract, a copy of the check I used to pay the rent, plus the two keys they issue should be a pretty good indicator that it IS MY box. Failing that, I keep a brief letter in there that states my contact info and that I am the person renting box no. xxxx and that everything in the box was put there by me and is mine.

Other than extreme events, which are possible even if very unlikely, the biggest danger to valuables in a SDB is when you live in a place like California. They have a law that says if you do not claim the contents of the box or contact the bank regularly, the bank and the state can open the box and divvy up what's inside. Originally, this law was created so that abandoned SDBs that people were no longer paying for could be emptied out and then rented to someone else who would pay the rent. This is not an unusual event if the person renting the box is elderly, suffers from Alzheimer's disease or other debilitation, or has died and either has no family or none of them knew about the SDB. Somehow, though, this morphed into a system of revenue generation for both the state and the banks. As time passed, the amount of time that a box can be "abandoned" shrunk from 3 years to 2 years to 1 year and now they are considering changing that to 6 months. There have been some heinous examples of the loss of private property due to laws like this. One woman had her current name, address, and telephone info on a piece of paper inside her SDB. She lost an heirloom necklace that belonged to her grand mother that was valued at $85k... and sold at auction for $1300! She didn't even get the $1300. The bank and the state split it. Moral of the story is... make sure to contact your bank regularly just to check to see when the rent is due on your SDB. Even if you know when the rent is due, ask them anyway so that they know you are actively using the SDB.

Another good idea is to rent a SDB in the name of your trust, if you have one. If you do, anything inside that box is not owned by you but by the trust. Since you are the Trustee and the Trustor, however, you have complete control of the assets inside the SDB without actually owning them. This places a considerable legal road block in the path of anyone wanting to get at whatever is in the SDB. If you are sued, for example, and a court orders you to make a settlement, anything owned in a trust is legally not part of your assets, so they may not be able to access those assets. Note that the rules for this vary by state, so the laws in your state could be different than they are in my state. A qualified tax attorney or CPA should be able to accurately answer this question for you.

Who do you use to insure bullion?

I personally think a safety deposit box is a good idea. The only thing that you may want to do with bullion or proof or uncirculated coins, is put them in zip lock type bags for longer term storage.