When it comes to evaluating third-party risk management, financial institutions can use their own methods to determine the level of risk for each partnership. The regulators understand that not all relationships require the same level of scrutiny, and it is important to recognize vendors with high and critical risks. At Strunk, we have created a […]
On Tuesday, June 6, 2023, Federal bank regulators issued final guidance outlining the guidelines and factors to consider when managing third-party relationships for financial institutions. The joint final guidance was issued by the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the […]
Every critical and high-risk vendor must have their fundamental business information gathered. Community financial institutions can use this information to assess if the vendor complies with any relevant local laws and regulations, as well as to spot any potential future performance problems. An essential element in the vendor risk management lifecycle is due diligence. In […]
Why is vendor management a hot topic in the world of financial institutions right now? It’s because regulatory organizations including the Federal Financial Institutions Examination Council, Office of Foreign Assets Control, and Federal Trade Commission are focusing on how financial institutions are managing the vendors they outsource to. The Federal Deposit Insurance Corporation (FDIC) has […]
In 2023, what will regulators and auditors focus their attention on the most? How can we get ready for a change in any law or regulations? How can Strunk’s software better prepare you for your audits and examines. To determine the top regulatory hot button problems for 2023, Strunk examined supervisory priorities, enforcement trends, rulemaking […]
Vendor Reviews provide an impartial view that allows users to evaluate vendor performance and situation since they allow users to; share expectations with vendors, be clear about the vendor performance metrics that are most important and assess the vendors’ track record of value delivery. A vendor review should always cover core performance such as: Efficiency […]
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 […]
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 […]
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 […]
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 […]
An independent certified public accountant has examined Strunk’s operations and found them to be in compliance with the AICPA’s Trust Service Principles. It was determined that Strunk meets the Security, Availability, Processing Integrity, Confidentiality, and Privacy criteria for SOC 2 established by the AICPA.
