Encrypt Your Private Dropbox Data With EncFS
webupd8.org
webupd8.org
However, with EncFS be warned:
"Anyone having access to the source directory is able to see how many files are in the encrypted filesystem, what permissions they have, their approximate size, and the last time they were accessed or modified." [2]
Since tarsnap does the block partitioning and encryption client-side, it doesn't suffer from either problem.
I basically approach Dropbox as a tool that fits its purpose and this purpose unfortunately does not include properly encrypted data. So any sensitive documents would NOT go into dropbox. They would be backed up into an online backup that is encrypted on my side instead.
More on their encryption options here:
Here's my comment from a year and a half ago: http://news.ycombinator.com/item?id=895660
... and from a few months ago: http://news.ycombinator.com/item?id=2454924
Install "Cryptkeeper" on Linux to have an tray icon to more conveniently mount and unmount.