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#68333 - 03/19/03 04:32 PM Self Serve Safe Deposit Boxes
sandra y Offline
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sandra y
Joined: Oct 2002
Posts: 15
Houston, TX
We are considering adding self service safe deposit boxes. They will not be housed in the vault but in an office with a gate that customers can enter on their own using a hand pad. One of the security issues we are thinking of is more than one customer accessing thier box at a time. I was wondering how many of y'all are using this type of safe deposit box, what comments you have and have you had any other security concerns. Thanks!

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General Discussion
#68334 - 03/19/03 04:48 PM Re: Self Serve Safe Deposit Boxes
Don_Narup Offline

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Joined: Jul 2001
Posts: 3,708
Las Vegas Nevada
As an elderly grouch locked in to the "old days" I won't pose an opinion on using this service. However, trying to be realistic from a senior management point of view.

Look at all the liabilities that bank can possibly incur with such an arrangement, and have a very good attorney draw up a new safe deposit agreement that incorporates all that will be necessary to safeguard the bank. In addition there should be something (maybe a sign on the wall) that clearly dispels any notion that the bank is liable for anything that goes on in that area. IMO I wouldn't even call it a Safe Deposit area so that it cannot be confused with traditional safe deposit areas or routine practices used elsewhere.



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#68335 - 03/19/03 04:58 PM Re: Self Serve Safe Deposit Boxes
sandra y Offline
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sandra y
Joined: Oct 2002
Posts: 15
Houston, TX
We will have a sign outside office stating Self Service Boxes and will refer to them using this name (instead of self service safe deposit boxes).

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#68336 - 03/19/03 05:20 PM Re: Self Serve Safe Deposit Boxes
complylady Offline
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complylady
Joined: Jul 2002
Posts: 614
Michigan
Will employees still survey the rooms after each customer to ensure no items have been left?

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#68337 - 03/19/03 05:54 PM Re: Self Serve Safe Deposit Boxes
Anonymous
Unregistered

I am with Sandra Y. No, an employee will not be surveying the room after each customer leaves. Also, it is my understanding that the concept is allowing more than one person being in the area at one time. The customer would be removing their inter-box which houses their contents (in the same area) place the box on a shelf were all of the boxes are located and does their business at that time. Several people can be in the area at the same time doing the same thing, all would be able to see each other. The entry is a self entry and not directed at all by an employee. I guess it might just be me and some old thinking, but I have a problem with this concept. Does anyone else? I have to prove by regulation that this can not be done in this manner. I am thinking that it might not be a regulatory issue but an insurance issue (bond coverage).

Any help will be greatly appreciated.

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#68338 - 03/19/03 06:11 PM Re: Self Serve Safe Deposit Boxes
DeeQ Offline
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DeeQ
Joined: Dec 2002
Posts: 40,763
Turnpike Exit 10
At my old bank, a competitor down the street has the self serve boxes, and most of our
mutual customers hated the concept, the idea, and felt unsafe. (They didn't have sdb's in
that branch of my old bank, but they will in a few months.)
IMHO, I wouldn't use a self serve box either. Good luck.
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#68339 - 03/19/03 06:57 PM Re: Self Serve Safe Deposit Boxes
1 Peter 5:7 Offline
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1 Peter 5:7
Joined: Jun 2001
Posts: 1,339
TX
Self-service SDB's are certainly a milestone in the slow but certain decline of the brick and mortar branch. If you think about it, SDB's are the ONLY reason that a customer MUST physically visit a bank office. Every other banking service may be had by phone, mail, or computer.

The next logical step is 24-hour SDB access!
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#68340 - 03/19/03 07:08 PM Re: Self Serve Safe Deposit Boxes
1111 Offline
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1111
Joined: Jan 2003
Posts: 580
Do banks offer this service at this time? Wow, if yes. The liability must be significant and it would be interesting to see what your insurance carrier will have to say about this set-up. First, including Safe Deposit in the name seems a little strange, as you are offering something similar to a PO Box, only with no opening at one end. What prevents someone from spending a little extra time in the “Box” area getting into someone else’s Box? Why would customers go for this arrangement?

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#68341 - 03/19/03 07:29 PM Re: Self Serve Safe Deposit Boxes
sandra y Offline
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sandra y
Joined: Oct 2002
Posts: 15
Houston, TX
The thought is that the customer could go in and out of the box whenever they want without having to wait for a bank employee to let them in. There is only one key to open the box which the customer would have. Management likes this idea because it won't take time away from the employee. We also found out that there will be a security camera in the room. Aren't we not supposed to know what the customer puts in the box??

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#68342 - 03/19/03 07:55 PM Re: Self Serve Safe Deposit Boxes
Don_Narup Offline

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Joined: Jul 2001
Posts: 3,708
Las Vegas Nevada
IMO a camera in the room implies the bank is taking on a security obligation, and it would appear the new system is contradictory to that.

Again you open the door to all kinds of liability if one the surface the bank is marketing safe deposit boxes giving the impression its just like it always has been, and in fact it is canceling most of the safe guards now in place. Personally, I would not want to be in a small safe deposit area with a couple of other customers at the same time, with a camera looking over my shoulder. What safeguards are in place to make sure the tape cannot be seen by other bank employees?

How would you handle access to boxes sealed by court order? It sound like a person can acces a box anytime.I have no faith in the hand identification entry as you are still relying on an employee to enter something that allows cancellation of entry. If in their busy schedule they don't get around to it for a couple of days, or the most common will be, the person that does that was out of the bank for awhile, you have a problem.

Some type of attendent or system maintenance person is always going to be needed. So, is there a real savings in time or is shifting it elsewhere giveing the illusion of savings?

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#68343 - 03/19/03 09:35 PM Re: Self Serve Safe Deposit Boxes
sandra y Offline
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sandra y
Joined: Oct 2002
Posts: 15
Houston, TX
Don-you've brought up several good points. Vicki and I are against the self serve boxes and are trying to come up with good arguements against installing them. We will bring your points up with upper managment. Thanks!

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#68344 - 03/20/03 07:40 AM Re: Self Serve Safe Deposit Boxes
Deepa C Offline
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Deepa C
Joined: Dec 2002
Posts: 27
Dubai, UAE
You also run the risk that some masked bloke could come in at night, enter the area, drill into someone else's locker, or worse still place a bomb and take off. No security camera would be able to pin point who the villain is.

The idea of a safe deposit box is to keep documents "safe". Looks like the self serve concept raises more risks than safety.

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#68345 - 03/20/03 01:47 PM Re: Self Serve Safe Deposit Boxes
DeeQ Offline
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DeeQ
Joined: Dec 2002
Posts: 40,763
Turnpike Exit 10
Don,
Not being in the SDB area, I believe the NJ Inheritance Tax
is trying (or already did) to eliminate the state lock-down for decedents,
but you made a really good point, what if it's seized. I am not
keen on the idea at all, personally or professionally.
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