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This option is selected by default, as it will prevent unauthorized people from accessing your computer without knowing the password you created earlier. This is a good option for those who, for example, share their computer with other family members. Once the installation process has been completed, an additional login account can be created for each family member. Each person will then have their own login name and password, account preferences, Internet bookmarks, and personal storage space.
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This option provides you with an extra layer of security. Your home folder is where your personal files are stored. By selecting this option, Ubuntu will automatically enable encryption on your home folder, meaning that files and folders must be \gls{decrypted} using your password before they can be accessed. Therefore if someone had physical access to your hard drive (for example, if your computer was stolen and the hard drive removed), they would still not be able to see your files without knowing your password.
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\warning{If you choose this option, be careful not to enable automatic login at a later date. It will cause complications with your encrypted home folder, and will potentially lock you out of important files.}