December 22, 2020
What Banking Documents Might You Need in an Emergency?
It’s safe to say that you’ve been taught how to create an emergency plan at some point in your life. However, these often only included escape and survival plans such as knowing your exits and having a go-bag filled with food and water. It’s also safe to assume that you also haven’t been taught about the importance of collecting and protecting important documents in the event of an emergency. Therefore, the following list includes important information regarding what type of bank documents you need during an emergency and how to store them safely.
Your Personal Tax Records
Unfortunately, the IRS doesn’t care if you’ve lost your home or had to relocate for a while. If they want to audit you, they will. Therefore, it is highly recommended that you have your personal tax records ready to go in hard copy form as there is a high probability that you won’t be able to reach for your laptop. It is best to keep at least three months’ worth of tax records, as this is usually the duration asked for by the IRS.
Fires, flooding, and natural disasters can cause you to relocate to another home or even city in some cases. Having your financial statements on hand is a must as you are going to need to get in contact with your bank, school, and more regarding address change and proof of relocation when they decide to send you your regular monthly bills.
Home Inventory List
Fires and floods can quickly spread and cause severe damage to the home. There is certainly no time to go pick up your valuables and place them into your car. This is why it is so important to have a home inventory list on hand. The list should also contain physical pictures of the items listed as your insurance company will want proof that you’ve had these items prior to the accident.
Important Legal Documents
When we talk about legal documents, we are talking about documents tied to your assets such as your home or vehicle. These should include your car registration, car insurance, car bank loan documents, and your home mortgage documents, to name a few.
Keeping Your Documents Safe
Having these documents on hand isn’t enough. You must also ensure that they are protected while still being at arms reach in the event of an emergency. For example, you may want to place them in a lockbox that can be easily grabbed and taken. This is because you may not have the time to move around objects and press a code to open a safe. Next, you can provide these documents to your attorney for safekeeping, but this should not be an excuse for not having them yourself.