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How to encrypt files with Microsoft's Windows XP improved EFS

With Windows 2000, Microsoft introduced a new feature called Encrypting File System (EFS), which allowed users to encrypt their files. This feature is still present in Windows XP Professional, but with a few improvements. (It is important to note here that EFS is available on Windows XP Professional computers using NTFS partitions only. The technology isn't available for FAT32.)

Encrypting files in Windows XP is quite simple:

1. Right-click a file or folder in Windows Explorer.
2. Select Properties.
3. Click the Advanced button on the General tab.
4. Check the Encrypt Contents To Secure Data check box.
5. Select OK and then OK again.

Up to this point, everything is identical to Windows 2000. However, new in Windows XP is the Details button. After you have encrypted the files, click the Advanced button once more.

You should now see the Details button enabled. Click it. The new Encryption Details dialog box appears. This dialog box allows you to share encrypted files with other users. Previously, you couldn't do this. Now, you can simply click the Add button and the public certificate of a user with whom you want to share files.

Keep in mind that the user must have a certificate. Once you add a certificate, click OK and both you and the user will be able to access the encrypted files.