[ras463us]

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The eletrolysis reaction your referencing has been used for years to strip rust of of metals. People who have used this process are having to quit the use of stainless steel electrodes. Why? Stainless steel contains chromium. The electrodes, and thus the chromium is consumed during the electrolysis, and you end up with chromates in your electrolyte. Hexavalent chromate is poisonous and can cause severe skin problems and ultimately, cancer. Dumping these on the ground or down the drain is illegal. These compounds are not excused from hazardous waste regulations where household wastes are.
These compounds are bad enough that government regulations mandate "elimination of hexavalent chromate by 2007 for corrosion protection."