Does TOS/Privacy policy affect your SEO ranking anyhow ? Is it a good idea to have those documents on a website ?
Nope. It depends on your web site. Ideally, there must be an agreement between you and your visitors about usage of content, privacy statement, etc.
I would definitely recommend having those two documents on your site, just from a legal side, and from a monetary side, as many ad programs require you have a privacy policy, but for seo, the only affect that they would have is greater inter-linking within your site. Basically what I am saying is that they may help you 0.000000000000001%, but definitely won't hurt you either... Tom
i dont think they hurt you. if anything they help you because you have some legal jargon on their which a search engine may pick up.
I know it's boring and unlikely your visitors would read them but it's going to bail you out of trouble once the need arises.