PGPdisk is an on-the-fly encryption (OTFE) system that allows one to create a virtual encrypted disk within a file.

Older versions for Windows NT were freeware (for example, bundled with PGP v6.0.2i; and with some of the CKT builds of PGP). These are still available for download, but no longer maintained. Today, PGP Virtual Disk is available as part of the PGP Desktop product family, running on Windows 2000/XP/Vista, and Mac OS X.

Advantages:

• Free
• Strong protection due to encryption
• Very powerful

Disadvantages:

• Password: Like with any other encryption software, if you lose your password, you won't be able to access your files.
• Full encryption means that it might take lots of time to decrypt. *