Totally clueless here: password protecting external drive for TM?

Hi guys,
sorry I'm really ignorant on the point and I hope you will help me.
I have an ibookg4 with 10.5.1...I'm the only user of my mac but I have the mac asking for username and password everytime it runs so to protect my data from other people.
Now, I bought a very simple Lacie hard drive for backingup with TM. The question is: can now some people take the Lacie hard drive, log it into their macs (or pc too?) and simply surf through all my data? Because in that way my password protection on my ibook would be totally useless...
I don't wanna have people having access to the data on my mac. The data on my backup are safe? If not, how can I protect them.
Sorry for my ignorance

Currently there is no password protection or encryption supported for Time Machine (TM). So the simple solution is to disconnect the drive and use physical protection such as putting it in a locked box. However, you can use File Vault in OS X to encrypt your home directory, and those files are backed up by TM in the protected format.
See
http://www.macosxhints.com/article.php?story=2007111404402514
for some more related information.
Before using it, you might want to learn details about file vault by using help on the Finder and also by doing a websearch. Do remember those password(s) when you use it, and when the next major release (e.g., 10.6) happens, you may want to consider an unencrypted bootable back up (back up with Carbon Copy Cloner or similar after turning off file vault) to move the data to the new system.

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