Chase Is Phasing Out Safe Deposit Boxes: What San Diego and Orange County Customers Should Know

For generations, safe deposit boxes were a standard service offered by major banks. Customers used them to protect important documents, jewelry, precious metals, collectibles, family heirlooms and other valuables outside the home.

That is changing.

JPMorgan Chase began moving away from the safe deposit box business several years ago, and customers in San Diego, Orange County and elsewhere are now seeing the effects as Chase continues to eliminate safe deposit box services from its branch network.

Chase Stopped Offering New Safe Deposit Boxes in 2021

The change began in December 2021, when JPMorgan Chase made the decision to stop renting new safe deposit boxes.

JPMorgan spokesman Tom Kelly confirmed the policy to Bloomberg in 2022:

“We made a business decision to stop offering new safe deposit boxes as of December 2021, but that doesn’t affect current customers who have boxes.”

At that point, existing customers could generally continue using their boxes. However, Chase would no longer issue new boxes. If a branch containing safe deposit boxes closed, affected customers could not simply transfer their rental to a new Chase safe deposit box at another branch.

It was an early indication that Chase was beginning a broader transition away from the service.

Chase Is Now Phasing Out Its Remaining Safe Deposit Boxes

The policy has since expanded.

JPMorgan Chase subsequently confirmed that it intends to phase out its remaining safe deposit boxes across the country.

A Chase spokesperson explained the decision:

“As our customers continue to look to us for advice and financial solutions, we have decided to phase out all remaining safe deposit boxes across the country.”

The spokesperson added:

“Doing so allows our bankers to spend more time helping clients.”

Chase has indicated that affected customers will receive advance notice when their particular safe deposit box service is scheduled to end.

The bank's current Safe Deposit Box Lease Agreement also plainly states:

“We currently do not rent new safe deposit boxes.”

The Phase-Out Is Reaching San Diego and Southern California

For several years, the changes were gradual enough that many existing Chase safe deposit box customers may not have noticed them.

That is changing as individual branches discontinue their remaining safe deposit box operations.

Here in San Diego County, Chase customers have begun receiving notices requiring them to remove the contents of existing safe deposit boxes. For example, customers at Chase branches at 7777 Girard Avenue in La Jolla Village and 5605 La Jolla Boulevard in Bird Rock have been notified that safe deposit box services are ending at those locations.

This is consistent with Chase's nationwide strategy rather than an isolated change involving a single branch.

Customers elsewhere in San Diego and Orange County who still have Chase safe deposit boxes should therefore understand that the availability of their existing box may not be permanent. The timing can vary by branch, and customers should rely on communications directly from Chase regarding their particular box and deadline.

Why Are Banks Moving Away From Safe Deposit Boxes?

Chase is not alone in reconsidering the traditional safe deposit box business.

Safe deposit boxes require physical vault space, security infrastructure, dual-control procedures, employee involvement and ongoing administration. Those requirements are increasingly at odds with a banking industry moving toward smaller branches, digital transactions and locations designed primarily for financial advice and other banking services.

In discussing changing branch usage, JPMorgan spokesman Jerry Dubrowski told The Wall Street Journal:

“When we talk to our clients and ask them why they are visiting the branch, it’s generally because they want to speak with someone, or apply for a mortgage or car loan or get investment advice.”

The Wall Street Journal reported that only about 48% of Chase branches had safe deposit boxes at the time of its reporting, with no boxes being installed in new Chase branches.

For customers, however, the need that safe deposit boxes traditionally addressed has not necessarily disappeared. Digital storage can replace paper copies of certain records, but it cannot replace secure physical storage for jewelry, precious metals, collectibles, original documents and irreplaceable family possessions.

What Should You Do If Chase Is Closing Your Safe Deposit Box?

If you have received a notice from Chase that your safe deposit box is being discontinued, start making arrangements before the deadline specified in your notice.

Consider inventorying the contents of your existing box and determining what still requires secure off-site storage. If you intend to move your valuables to another safe deposit box provider, securing the replacement box before emptying your Chase box can reduce the amount of time those items need to remain at home or be transported unnecessarily.

You should also compare alternatives carefully. Ask about security standards, insurance coverage, access procedures, privacy, available box sizes and whether the provider is committed to offering safe deposit boxes for the long term.

Private Safe Deposit Boxes as an Alternative

As traditional banks reduce or eliminate safe deposit box services, private vault facilities have emerged as an alternative.

Unlike a bank, a dedicated private vault's primary business is secure physical storage. This allows facilities to invest specifically in vault construction, access control, surveillance, authentication and other security measures designed around protecting clients' physical property.

Refuge Vault in Del Mar provides private safe deposit boxes for clients throughout San Diego County, including customers affected by the ongoing reduction in bank safe deposit box services.

Refuge Vault features a UL Class 2 vault, UL-certified security systems, biometric access controls and insurance coverage through AXA XL. Safe deposit boxes are available in multiple sizes for documents, jewelry, precious metals, collectibles and other permitted valuables.

We regularly assist customers who are transitioning from traditional bank safe deposit boxes and can help make that transition straightforward.

Have You Received a Chase Safe Deposit Box Closure Notice?

If Chase has notified you that your safe deposit box is being discontinued, you don't need to wait until the final weeks before your deadline to make alternative arrangements.

Contact Refuge Vault to learn about current safe deposit box availability, box sizes and the process for establishing a private vault rental in Del Mar.