Independent Banker - September 2020 - 42
PORTFOLIO
The benefits within
safe deposit boxes
Banking
Safe deposit boxes aren't big revenue
drivers at most community banks, but
for some customers, they can be an important service.
They provide peace of mind when breaches and hacks
have eroded trust for many. By William Atkinson
y David McGuinn's estimates, the safe deposit box has
been around for nearly 160 years, and it'll be around for
quite a bit longer. The founder and president of Safe Deposit
Specialists in Houston says roughly 30 million Americans
rent boxes today-many at community banks. While they
may not bring in money, he adds, safe deposit boxes can be
important for many customers.
" Many fi nancial institutions have considered safe deposit
as a loss leader for so long that it is diffi cult for them to view
32 Q ICBA Independent Banker Q September 2020
B
this service as a successful marketing opportunity and a
profi t center, " he says. " Fortunately, many institutions are
now realizing that consumers will pay a lot for a little peace
of mind. "
However, the number of people using safe deposit boxes
has grown steadily over the years, a trend McGuinn expects
to stay constant.
" Demographic trends may be the most infl uential force
aff ecting the safe deposit box market, " he says. " Those who
chart trends cite the increasing urban population with its
attendant rise in burglaries as one big reason why people
want safe deposit services for their valuables. "
Furthermore, there are benefi ts for community banks that
off er this service. For one, customers who have safe deposit
boxes at a bank are less likely to close their other accounts
Independent Banker - September 2020
Table of Contents for the Digital Edition of Independent Banker - September 2020
Table of Contents
Independent Banker - September 2020 - Intro
Independent Banker - September 2020 - Cover1
Independent Banker - September 2020 - Cover2
Independent Banker - September 2020 - Table of Contents
Independent Banker - September 2020 - 2
Independent Banker - September 2020 - 3
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Independent Banker - September 2020 - Cover3
Independent Banker - September 2020 - Cover4
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