Why Is There a Need to Destroy Company Documents?

Some information becomes obsolete for the operations of businesses. Businesses need to dispose of outdated information to create storage space for new, relevant data. However, organizations need to ensure that the information does not fall into the wrong hands while trying to destroy it.

What Document Is Given When a Business or An Individual Uses a Good Paper Shredding Company?

When you hire a reputable paper shredding company, you will receive a Certificate of Destruction after your job has been accomplished.

What Is a Certificate of Destruction?

A Certificate of Destruction is a vital document which proves and guarantees that any form of data supplied to the issuer has been destroyed completely and properly.

What Is the Use of A Certificate of Destruction?

A Certificate of Destruction serves as:

  • An audit of a company's paper trail and is an important document for your records.
  • The document transfers the obligation of destroying the information from you to an information security company.
  • The document allows you to uphold the provisions of data protection laws.
  • In some industries, companies are required to provide a Certificate of Destruction as evidence that they followed laid down rules regarding the destruction of data, as well as to protect them from liability.

What Does the Certificate of Destruction Contain?

A Certificate of Destruction contains the following:

  • Timeline of the job.
  • Name of the drive destroyed.
  • An employee of the company who witnesses the actual destruction.

What Kind of Confidential and Sensitive Business Information Needs to Be Destroyed?

Some of the confidential and sensitive information that businesses often need to dispose of include:

  • Official correspondence.
  • Expired agreements and contracts.
  • Employment applications.
  • Invoices, bills, and receipts.
  • Financial statements.
  • Marketing materials and sales proposals.
  • Tax records.

What Is a Common Cause of Negligent Document Disposal Behaviors?

One of the main reasons why employees handle document disposal with negligence is due to lack of training, and this puts the company at risk of data breaches. Businesses must train their staff on final disposition dates, as well as the relevant laws regulating privacy protection and data security in your industry.

What Information Should Be Included in an Organization's Employee Handbook About Information Destruction Policies?

The minimum information a company should include in its employee handbook about its policies on data destruction include:

  • The implications of negligence in disposing of information.
  • Instructions for proper disposal of different forms of information such as digital data, hard copy, and confidential and personal data.
  • Penalties for not following laid-down disposal instructions.

Are There State and Federal Laws Regarding the Collection, Storage, and Destruction of Data?

The federal and state governments have laws regulating procedures for collecting, storing, and destroying data.

What Is FACTA?

The Fair and Accurate Credit Transactions Act (FACTA) is an amendment to the Fair Credit Reporting Act. It is a resolution intended to enhance credit card security measures and prevent identity theft. FACTA empowers certain agencies that are responsible for regulating certain types of sensitive information.

Important Processes for Destroying Confidential Information

Is Destroying Confidential Information a Requirement?

All companies are required to destroy confidential information.

Steps in Destroying Confidential Information


When destroying confidential data, the first step is to identify the documents which are outdated and no longer relevant to your company or those you are not required to keep under the law.

Why Are Retention Schedules Important?

Retention schedules are important as they help businesses identify documents that are still relevant and those that they need to destroy.

What Should Be Done to Documents Reaching the End of a Required Retention Period?

Except where they are being used for legal claims, documents which have reached the end of their retention schedule should be destroyed.

What Does a Records Storage Service Do?

A records storage services provide a secure storage facility for your confidential information as well as give you notices of retention schedules to enable you to destroy stored documents on schedule.

How Does the Retention Destruction Process Work?

Here is how the retention destruction process works:

  • Destruction dates are based on federal, state, and local laws and regulations.
  • Retention information about each file is stored in an inventory management registry.
  • Your company receives an alert when its file has the end of its retention period.
  • The file is destroyed for you using best practices.


The next step is to collect the data that will be destroyed. This should be done professionally and efficiently to prevent any data breach.


Once the information has been destroyed, you have to verify that everything was completely and securely destroyed.

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