Entries by Joel Lawrence

The risks of working with vendors that have been sanctioned by the Office of Financial Assets Control (OFAC)

Do you understand the risks of working with vendors who have been sanctioned by the Office of Financial Assets Control (OFAC)? How does this affect the way you manage your vendors? The Treasury Department’s Office of Foreign Assets Control is known as OFAC. OFAC is in charge of managing economic and trade sanctions as part […]

Understanding your critical vendors

Knowing who your most crucial vendors are, also known as your most significant vendors, is a fundamental element of a risk-based vendor management program. The idea that a “critical vendor” and a “high-risk vendor” are interchangeable is a prevalent misconception. When establishing your program, it’s crucial to distinguish between the two because they are not […]

CFPB Guidance: Surprise Overdraft Fees and Returned Check Fees Explained

The Consumer Financial Protection Bureau (CFPB) published guidance on October 26, 2022, stating that “surprise overdraft fees” and “returned deposited item fees” generally constitute “unfair practices” in violation of the federal Consumer Financial Protection Act when consumers are unable to avoid them. In its analysis, the CFPB underlined that an act or practice is illegally […]

When is a good time to Review your Overdraft Privilege Program

Delaying annual reviews of overdraft programs until the next rule modification or updated guidance can lead to serious and expensive issues. Preventing a problem is almost always simpler and less expensive than trying to fix it. Despite the fact that the most current guidance was issued in 2010, a lot has changed in the overdraft […]

What we know now about overdraft privilege

Overdraft privilege appears to have been widely covered in the media over the past 12 months.  We wanted to address some of the most recent worries that have been raised in these news pieces because overdraft privilege programs have received a lot of negative attention and inaccurate information. Overdraft Privilege has not undergone any new […]

Vendor Manager Contracts

A significant chunk of an organization’s operations are made possible through connections with third-party vendors, and the strength of these ties has a direct impact on revenue. Contracts with vendors may be just as significant in this system as those with clients. There are many differences in how businesses handle the acquisition of goods and […]

How can vendor risk tiering improve vendor risk management?

Understanding which providers represent the greatest “threat criticality” is an essential feature of any effective vendor risk management program, which is necessary to reduce risk and preserve business continuity. Vendor tiering allows for the implementation of this rating system that classifies vendors and doing so also imposes tighter security requirements on them. You may improve […]

How Can Strunk’s Vendor Manager software help you understand which vendors receive customer data and what type of data they receiv

Vendor Management has been a concerning issue for financial institutions for some time.  Regulatory agencies such as the Federal Trade Commission, the Office of Foreign Assets Control, and the Federal Financial Institutions Examination Council are scrutinizing how financial institutions (FIs) manage their outsourced vendors. The Federal Deposit Insurance Corporation (FDIC) has declared that an institution […]

Overdraft Privilege Provides a Solution for Charging Multiple NSF Fees

When a merchant transaction is presented for payment from a consumer account and is refused due to the customer’s insufficient funds to cover the transaction, financial institutions typically charge an NSF fee. When a merchant tries to present the same transaction again in order to recover the denied funds, he or she may be charged […]

The Importance of Employee Training for your Overdraft Program

Does your front-line staff have a biased opinion regarding overdraft privilege and present it in a negative tone?  Is your front-line staff having a hard time explaining overdraft privilege to your customers/members and not really sure what to say to them? If you haven’t had a chance to listen to your employees’ present overdraft privilege […]