Comments on: BVC #12 – Keeping Financial Documents

By: stephen

stephen — Sat, 30 May 2009 18:35:09 +0000

I agree that some items should be in a fire-proof safe (if you’re keeping them at home and not in a bank’s safe deposit box). But for online statements that you’ve downloaded as PDFs, you should ensure that those files are backed up as part of your regular backup strategy (you have a regular backup strategy right?). If you download your financial activity and then import the transactions into MS Money or Quicken or some other financial package, that application’s data files should also be part of your backup routine. Consider an online backup company – mozy home, for example. I don’t work for ‘em, but I do use their unlimited version. They have a Pro version for businesses too. The important thing is to get a copy of your files away from your computer so you don’t have a single point of failure. Remember the 5 P’s: Prior Planning Prevents Poor Performance. There’s a 6th P, but this is a family newsletter so I left it out.

By: afronica

afronica — Mon, 25 May 2009 16:24:38 +0000

The local governments where I live (city and county) have a shredding event once a year. Go onto your local government web sites and check under trash or refuse, or call the number listed on that web site for trash. The shred event usually means that a large truck pulls up for the day into a parking lot. Inside the truck is a mammoth shredder (either cross-cut or something that pulverizes your papers into confetti). You can even watch them throw your papers into the shredder.

By: chris

chris — Sun, 24 May 2009 10:07:36 +0000

I totaly agree with that

By: Splendor

Splendor — Sun, 24 May 2009 01:39:53 +0000

I just bought a filing cabinet and I’m excited to get all of my paperwork organized. Thanks for the video.

By: Jacque

Jacque — Sat, 23 May 2009 13:07:36 +0000

I have to disagree completely. I recently went through a divorce and the first thing your attorney will ask you for is 2 years of documents, i.e., bank statements, credit cards, etc. Many institutions don’t keep more then 12 months of statements on line or any where for that fact. So my advise is that for anyone who is married or thinking about marriage, make sure you have at least 2 years of ALL statememts available and retrievable.

By: TStrump

TStrump — Sat, 23 May 2009 05:51:38 +0000

I recently went through a consolidation project with my financial papers.
I had 5 boxes of papers and I managed to get them to fit into 4 3-ring binders. I shredded most of the stuff I didn’t need, which was surprisingly quite a bit.
Now, my records are easy to reference (no more flipping through boxes) and take up much less space.

By: Shock

Shock — Fri, 22 May 2009 04:10:29 +0000

My files are in three boxes. The first is a waterproof & fireproof safe box that holds insurance policies, credit reports, mortgage documents, wills, estate planning documents, home inventory, passports, auto titles, medical records, birth certificates, warranties, receipts, tax returns, etc.-anything that I would want to survive a flood or fire. The second box is a plastic crate that holds current documents not needing natural disaster protection. The third box is a plastic crate that holds “archived” documents – childhood awards, college transcripts, etc. I organize all the documents using the Homefile Financial Planning Organizer Kit, http://www.homefile.com. Here’s the description of the kit from the website “The system works by organizing hundreds of documents into 22 easy to use categories. Once you set up your kit, you just slip in new papers as they come. No more waiting until you can find the time to file. And you’ll never have to start all over again. Our kits are ever expandable to whatever your needs become.”

By: Shock

Shock — Fri, 22 May 2009 03:54:59 +0000

I totally agree. I keep the last statement from all closed/cancelled accounts and any paperwork from resolved disputes indefinitely.

By: Shock

Shock — Fri, 22 May 2009 03:53:07 +0000

Find a way to burn it.

By: Jim

Jim — Fri, 22 May 2009 02:57:26 +0000

You need a cross-shredder, I don’t think a 3rd grader will be able to put that together.

By: Modder

Modder — Fri, 22 May 2009 02:35:21 +0000

So have we figured out a good way to dispose of the stuff without losing your ID yet? I am still hesitant to buy ANOTHER shredder (they are all overpriced, crap out too quickly, get clogged in no time, require you to feed the stuff in unreasonably small batches … and even then the degree of security you get is not worth it – nothing a determined 3rd grader couldn’t puzzle back together).

I have been working from home this week, and was able to watch the trash folks pick up our trash. They ripped open every bag, scanned for goodies (they found an old no-longer functional GPS I ditched, and it made their day). Took them 10-15 minutes just to get through my 2 cans of trash (not exaggerating). No way I would ever feel safe putting any paper work in the trash.

But here I sit with ~10 lbs of highly confidential paper trash I need to dispose of (mortgage app copies with my SSN all over it etc).

What to do? I don’t have a fire place…

I am still thinking about turning it into charcoal (throw on gas grill in a cookie can), but the wife won’t let me.

By: Suzanne

Suzanne — Thu, 21 May 2009 18:13:32 +0000

Great idea!! I have things stored that I can shred over this long week-end!

By: Ketan

Ketan — Thu, 21 May 2009 15:42:03 +0000

Jim,
Enjoy reading your blog. I have the first drawer in my desk for my files.

But, when I close accounts, I put the folder in my file cabinet in the basement. I’ve been married 15 years. We have stuff in there that may be that old.

I keep refinance paperwork down there as well. Some of it is handy to compare costs when you are doing it again.

I need an improved way to clean up – too many files and paper. I’ve held back on going paperless as I like to see the statement as i feel I’m always looking at a computer screen – it’s too easy to miss online.

Great work! Keep it up.

Ketan

By: Martha

Martha — Thu, 21 May 2009 13:43:21 +0000

I would also recommend keeping the last utility bill from a previous residence. My sister, just a month ago, recieved a phone call from Comcast stating that she did not return her cable box. She had “transferred” the box to the next residents of the apartment and that infomration was written on her last cable bill. She did not keep the cable bill, or lost it somewehre in the process of moving multiple times as a college student. When Comcast called her just a month ago she had no recourse other than to complain, have them look for the box at a local return depot, or pay them $400. Bottom line: Keep you “Final Bill” to show that your account has been zeroed out after you are done with a apartment/house!

By: ObliviousInvestor

ObliviousInvestor — Thu, 21 May 2009 13:05:33 +0000

You’re right regarding the statute of limitations for fraudulent returns: It’s unlimited.