There is 3 Basic hard disk system : FAT,FAT32,NTFS.

The most popular choice among this 3 is FAT32 and NTFS.But occasionally FAT is still needed.a Fat Volume has a maximum size of 2GB and supports MS-DOS as well as being used for some dual boot configurations,but backward compatibility is about the only reason I can think of that FAT should ever used,other than for the occasional floppy diskette.So let's move on NTFS and FAT32
Many people think that NTFS is better than FAT32,they said it's more Reliable and provide better security.Is that right?Let's Compare this system :

The Advantages of using NTFS system:
-Security : FAT32 provides very little security.A user with access to a drive using FAT32 has access to all files on the drive.NTFS system allows to use User Permissions.It's more difficult for basic user(i think),but file access can be controlled individually.
-Space Efficiency : NTFS supports disk quotas,allowing you to control the amount of disk usage on per user basis.NTFS supports file compression.NTFS handles space management much more efficient than FAT32.
-Reliability : FAT32 drives are much more susceptible to disk errors.NTFS volume have the ability to recover from errors better than FAT32.

The Advantages of Using FAT32 system:
-Compatibility : NTFS system are newer than FAT32,in addition that NTFS system are not recognized by Windows 95/98/ME.This is only concern when the system is set up for dual or multi-booting.Fat 32 are compatible with Windows 95/98/ME.
Note : FAT and FAT32 system can be converted become NTFS system,but NTFS system cannot be converted to FAT32 without reformatting.
-Security : NTFS system using write-cache technology that have ability to recover files from errors,do you know what that means?NTFS system write-cache technology is covering the file back-ups somewhere,that means if someone special(could be people or software) know how to access the back-ups file(could be a log files),they can duplicate it.What happens if it's contain your e-Banking account?Note : you can use 3rd party software to handle this matter.Just ask uncle Google for further information.
-Error : For NTFS system,please use "Safely Remove Hardware" so your file will kept safe.Becouse Write-Cache could be corrupted if you just plug it off without using "Safely Remove Hardware" option.

For that reason : Microsoft Windows company doesn't want to take any responsibility of Write-Cache security threat and error,so Microsoft company turn the Write-Cache function off for any Removable Drive,such as USB Flash Disk of course.But you can turn it on if you wish :

1.Plug in your removable storage devices.
2.Click Start,right-click "My Computer",Properties.
3.Go to "Hardware" Tab,Click Device Manager.
4.Expand "Disk Drives",then Right-Click on you removable storage devices,Properties.
5.Go to "Policies" tab,then Click "Optimize for performance".(read the condition below "Optimize for performance").Then Click Ok.
6.Now go to "My Computer",right-click on your USB Flash Disk,click the Format option.
7.Check on File System,there should be NTFS option now.