How safe is putting old bank statements, etc. in password-locked folders offline/in cloud? (hard drive, Office)
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I am drowning in old bank statements and other statements (utility bills, insurance documents and statements, etc.) gathered over the last 20 years. I would like to get rid of some after scanning them into my hard drive on my MacBook and finding a way to store them in password-locked folders offline (I would guess they'd go into the iCloud too). Is this safe? How likely is it that the information could be hacked?
I don't have enough physical space, my physical file cabinets are full and I don't want to put any more stuff in storage where it would be hard to access.
I am not technical-minded. I am assuming that there are ways of putting this information either in password-locked folders; though I haven't found out how to do that yet (I can ask APPLE tech support or a friend, or Google it).
I would shred it all. The only thing we keep anymore is our last 7 years tax returns. Everything else is available for download when needed.
But what if I need bank statements and insurance documents for the last few years (7 years for the bank statements)? My bank records going back beyond the last 3 years would not be available through the bank...
Why would you keep that stuff? I’ve always wondered why people use to file that stuff. When would I need my water bill from 3 years ago or my bank statement from June 2013? As soon as I set up accounts now I ask for paperless, the less paper, the better. If I need a document, I just login to my account and download it.
I keep no file cabinet, everything is online, even tax returns, and has been for about 12 years or more. This might be crazy, but why would you need to scan all those old documents in? Just shred them and be done with it.
The only thing I’d even consider keeping is your tax returns and insurance documents. That should take up a folder or two at most. I usually keep physical copies of those in one folder, but I have them online as well.
But what if I need bank statements and insurance documents for the last few years (7 years for the bank statements)? My bank records going back beyond the last 3 years would not be available through the bank...
Your bank keeps records of all your statements. If you need one, you go to your bank and ask them to print one out for you. Why wouldn’t they be available through your bank? Create an online account and you can have access to every bank statement with a simple click. I can go online, click on the year, then click on the month. It has every year available that I’ve owned the account. Again, why would you need an old bank statement?
I would keep current insurance documents in a folder, but you should have online copies available as well.
New Year's resolution - Get rid of all the hoarded paperwork. Is there anything more useless than an expired insurance policy or a cable TV bill from 2013? No one is ever going to ask you for a copy of your August 2008 bank statement.
I use to keep everything, but now only keep the last 7 years of tax returns, and with those, proof of deductions for those years. Beyond that, all shredded. Although most of my utilities are online now (paperless), any bills I get at home, I will keep for up to a year, at the most. Anything beyond that, I can go to the company which will have it available for you, online, or in the office. If I need to know what I spent, I have a finance program on my computer that I enter everything in.
I should add, if it is a warranty receipt, I will keep it for the length of the warranty.
If you do want to shred your stuff, with 20 years of stuff, go to a commercial shredder. I did something like 8 or 9 years on my shredder, and it was not fun.
Why would you keep that stuff? I’ve always wondered why people use to file that stuff. When would I need my water bill from 3 years ago or my bank statement from June 2013? As soon as I set up accounts now I ask for paperless, the less paper, the better. If I need a document, I just login to my account and download it.
I keep no file cabinet, everything is online, even tax returns, and has been for about 12 years or more. This might be crazy, but why would you need to scan all those old documents in? Just shred them and be done with it.
The only thing I’d even consider keeping is your tax returns and insurance documents. That should take up a folder or two at most. I usually keep physical copies of those in one folder, but I have them online as well.
If you have business use of the home, for example, and take those deductions you could be going through an IRS audit and you would need those records. There could be a class action lawsuit, and you want to be able to pull your records. There are many other uses. Keeping records for 7 years is for a tax audit, however, any good CPA will tell you to keep your tax returns indefinitely, because you might have a non-deductible IRA you took years ago and this is your only documentation of it. The thing is, once you destroy records, they are gone and you can't get them back. If you routinely save things as a PDF or scan them on a regular basis, this isn't a big deal. And they take up so little space it makes no sense to go through and erase old files.
Switching to paperless is a good idea too, that way you download the PDFs and keep them.
Your bank keeps records of all your statements. If you need one, you go to your bank and ask them to print one out for you. Why wouldn’t they be available through your bank? Create an online account and you can have access to every bank statement with a simple click. I can go online, click on the year, then click on the month. It has every year available that I’ve owned the account. Again, why would you need an old bank statement?
I would keep current insurance documents in a folder, but you should have online copies available as well.
It is a mistake to assume the bank will always have those records available for you. If you want to verify if an IRA contribution was made years ago or not that year, and many other reasons. You made a capital investment and need proof, etc. With electronic records there is no reason to get rid of them, because it costs nothing to store them compared to what it did years ago.
Old paychecks are sometimes the only way you can prove you worked someplace. Also, if there is a mistake in your Social Security, you need your old pay stubs and tax returns for the claim.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
