i can drop my internal 3.5 data drive down into this enclosure and then it will be a usb drive?

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Yes, as long as your internal drive is using SATA I or II per the specifications of this device.  My sister's computer had a hardware failure so I dropped her old system drive into one of these and our mother was able to save a bunch of priceless photos of my nephew.  Just make sure you read the manual so you don't suffer any data loss after the fact, and you should be good to go.

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