This issue was brought up in Lifehacker recently -- "If the under-the-mattress route isn't for you, the author suggests, for example, to wrap your bills in aluminum foil and place them in your freezer."
Going back a few years, here's an interesting article in savingadvice.com. The writer apparently sat down with a burglar and picked his brain on the best place to hide your money. (It still remains to be seen whether the advice is on the level or merely trying to make his own job easier. You decide.) Excerpt: "If the under-the-mattress route isn't for you, the author suggests, for example, to wrap your bills in aluminum foil and place them in your freezer."
And here's the ultimate in extreme hiding places, also from savingadvice.com -- the "skid mark safe," if you can stomach it. It's a whole lot fancier than a hollowed-out book, anyway.
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