You may ask why is a virtual encrypted disk useful and what do they do?
Answer; they allow you to encrypt files on you computer so that if your computer is taken or in for repair people cant access your ‘files’
How to create an encrypted volume using the free program true crypt.
1.Download and install TrueCrypt from http://www.truecrypt.org/
2.Once the program is open select ?create volume? this will open a wizard
3.We are only encrypting a container so select ?create an encrypted file container
4.Select if you want to make the folder hidden or standard (for this tut i will be using the standard option)
5.Select the folder where you want you TrueCrypt container to be located and name it what you want, and then click next
6.Select the encryption options you want, these are the settings i use
7.Enter the size you want your container to be
8.Enter the password you want, i recommend making your password long and complex
9.Chose if you are planning to store large files in this folder, for me this is generally no
10.Select the volume format options you use
11.Select format, formatting could take awhile depending on the size for you volume.
Congratulations? your container is now created.
To use your container you will have to mount it you do this by clicking ?select file? then selecting the volume you just made
Then all you have to do is click ?mount? and entering your password.
Now its mounted you can locate the container as a disk in my computer.
When you have placed your files in the container just press dismount