TOPIC: Risk Assessment

FDiTech - Conducting Business With Banks, A Guide for FINTECHs and Third Parties

AVP at a bank ($741MUSA)
I wish all of the FINTECHs would read this guide issued by FDiTech in conjunction with the FDIC.  Perhaps if more FINTECHs would become aware of FI needs, requirements, and compliance considerations, when I ask for certain due diligence materials I might not get the response, "Well, I have never had anyone ask me for that before."  That tired old answer from FINTECHs worn out.  I may attach a copy of this guide to future RFPs.

    2020 Business Lending Readiness Survey: Preparing Now for Economic Uncertainty Ahead

    Abrigo’s 2020 Business Lending Readiness Survey asked more than 300 lenders, credit analysts, chief credit officers and chief risk officers, as well as other professionals involved in the lending and credit risk process at banks and credit unions what challenges they currently face related to driving loan growth and managing credit risk.
    Many respondents’ institutions have processes that add costs, delay turnaround times, and can lead to inconsistency in pricing and risk management, or worse yet, unhappy customers and staff.

    Download this whitepaper to:
    • Understand the risk appetite and portfolio strategies of other institutions
    • Learn where the largest roadblocks are throughout the commercial lending process
    • Compare loan turnaround times to other banks and credit unions
    • Discover ways to improve current institution processes
    Download now 

      Demonstration | End-to-End High-Risk Customer Management & CDD/EDD - Join us March 11

      March 11 at 12:30 PM - 01:30 PM EST
      End-to-End High-Risk Customer Management & CDD/EDD
      Segmentation, Stratification, Surveillance & EDD Workflows for High-Risk Customers

      Register Now

      How accurate is your institution’s customer risk profile? A one-size-fits-all approach to customer risk can lead to thousands of high-risk customers being flagged for continuous review, increasing your workload.
      Verafin’s end-to-end solution for High-Risk Customer Management and CDD/EDD helps you effectively manage higher-risk categories of customers, including ATM Owners, MRBs, MSBs, NGOs, and more.

      Join us as product experts demonstrate how Verafin applies advanced analytics and Robotic Process Automation to identify risk factors and segment customers into high-risk categories, stratify the risk within those groups and, through ongoing high-risk customer surveillance, provide a more accurate picture of your institution’s risk profile, strengthening your end-to-end CDD/EDD program.

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        Demonstration | Mitigating and Managing Deposit Fraud Losses - Join us Feb 19

        February 19 at 12:30 PM - 01:30 PM EST
        Mitigating and Managing Deposit Fraud Losses
        Cross-Channel Analysis & Machine Learning for Improved Fraud Detection

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        Financial institutions across the country are facing an increasing number of deposit fraud attacks as criminals take advantage of the anonymity and convenience of ATM and mobile channels. Meanwhile, consumers are increasingly falling victim to fraud scams, which can have significant emotional and financial effects.

        Join us for an overview of Verafin's Fraud Detection and Management solution which includes powerful detection capabilities to mitigate losses from first-party ATM, In-Branch and Mobile deposit schemes, and protects your customers from third-party fraud scams.
        Highlights of this software demonstration include:
        • Targeted alerts for first-party deposit fraud
        • Targeted alerts for deposit fraud scams
        • Machine Learning deposit fraud models
        • Risky Check Analysis
        • Fraud Management solutions
        Register Now

          Verafin Tour 2020 | Agenda Announced - Hot Topics at Free Seminars Near You

          Verafin Tour 2020 - Agenda Announced
          Fraud Detection & BSA/AML Regional Seminars

          Join us for a complimentary seminar in a city near you in June, as industry and product experts discuss trends in financial crime and banking technology. Get in-depth training on crime detection and investigation strategies.

          See all locations

          2020 Agenda

          Fraud Trends and Technology
          Financial institutions and customers are facing growing threats from fraudsters and evolving scam scenarios, including check schemes, card compromise, online account takeover and business email compromise. In this session, industry and technology experts will outline new approaches to prevent losses and improve efficiencies in fraud management programs, including big data and machine learning.

          Industry Reflections and Predictions with Guest Speaker Jim Richards
          Former top banking executive and industry expert, Jim Richards will provide insights into the regulatory and anti-financial crime industry by reflecting on the journey that led to the current BSA/AML framework, and examine the challenges of providing actionable intelligence to law enforcement.

          Optimizing AML Investigations
          With the increasing complexity of today’s BSA/AML landscape, financial institutions are facing increasing challenges to keep pace with changing regulatory requirements, daily compliance workloads, and complex money laundering investigations. Industry and product experts will provide an overview of best practices and approaches to improve efficiency, ensure compliance, and uncover money laundering activity.

          Big Data Intelligence and the Way Forward for AML
          Big data is key to the future of AML and financial crime detection. In this special session, industry and technology experts will discuss the limitations of current approaches to detecting financial crime and provide insights into a way forward for AML by leveraging technology-enabled solutions, including data lakes and consortium data.

          Beyond Due Diligence: Best Practices for High-Risk Customer Management
          Institutions are under increased regulatory pressure to meet requirements for CDD/EDD, particularly regarding the identification, segmentation, stratification, and surveillance of FFIEC high-risk customer types. In this session, industry and product experts will discuss the benefits of a segmented, stratified approach to high-risk customer management, outline best practices for developing risk models for customers in higher-risk categories, and demonstrate how technology can improve the effectiveness and efficiency of your CDD/EDD processes.

          Attendees will receive 5 CAMS, 6 CAFP, 6 CRCM credits, or may be eligible to receive up to 5 Continuing Professional Education (CPE) credits towards industry accreditation programs, such as CFE and CFCS.

          Register now for free

            ERM Process List

            AVP at a bank ($2.1BUSA)
            We have 3 major pieces of our ERM program... a macro risk assessment, KRIs/KPIs, and business process level risk assessments. We use software for the business process level risk assessment (and we will probably end up using it for KRIs and KPIs). But our organization faces rapid change. We've historically done many acquisitions, and a very large one relatively recently. Almost all processes are changing. And once we get to a place where processes are adequate, I would not be surprised to see another acquisition. Looking at all processes is incredibly cumbersome and when we get through them, nothing is actually accurate because it's changing again. I want to generalize the processes or come up with another solution... Does anyone have a process list for a similar fast-paced, flexible organization? Or suggestions for how to approach this more efficiently?

              Blog | Defying the Digital Revolution: Conventional Check Fraud Continues to Challenge Financial Institutions - Read now

              Defying the Digital Revolution: Conventional Check Fraud Continues to Challenge Financial Institutions
              November 26, 2019 by Verafin

              Read the full blog now

              Even as digital banking channels such as mobile, online and P2P payments surge in popularity — check fraud continues to be a preferred tactic for fraudsters to target financial institutions with new fraud schemes.

              The Association for Financial Professionals (AFP) has reported that check use in business-to-business payments continues to dominate over other payment types; checks were the payment method most impacted by fraud in 2018, and they continue to be “highly prone” to fraud in 2019. The volume of check activity and subsequent risks pose significant challenges for institutions to manage and mitigate the operational and financial costs of check fraud.

              In this enlightening blog post, read about the prevalence of Check Fraud, the challenges faced by financial institutions with this growing and evolving threat, as well as an exploration of fraud controls that financial institutions can implement for appropriate monitoring of customer accounts.

              Read the full blog now

                Blog | Crime Trends & Technology: Reflections & Perspectives for 2020

                Crime Trends & Technology: Reflections & Perspectives for 2020
                January 7, 2020 by Verafin

                Read Now

                As 2019 comes to a close and we move into the next decade, it is critical for financial institutions to reflect on recent trends in fraud and compliance, and gauge what potential challenges lay ahead.

                This revealing blog post highlights the following areas to provide greater context for FIs in strategically planning, evaluating, and prioritizing investment in financial crime management programs. 
                • Evolution of fraud scams
                • Optimizing AML alerts and investigative tools 
                • Managing High-Risk Customers
                • Artificial intelligence in Financial Crime Management platforms
                • Combating crime rings with collaboration 

                Read the full blog to learn about the biggest fraud schemes and AML trends noted in 2019, and how we can use what we’ve learned to stay ahead of fraudsters and criminals in 2020.

                  Webinar: CECL in 2023 - An Analyst's Perspective

                  Join Abrigo analysts on this free webinar as they share the inputs, data, and results from working with public clients through advisory engagements, and outline the steps that financial institutions should be taking in 2020 to get CECL-ready.

                  Tuesday, January 28, 2020 at 2:00 p.m. EST

                  Register now:

                    5 CAMS Credits | 2020 Verafin Tour Regional Seminars - Register Today

                    Earn CAMS Credits
                    2020 Verafin Tour
                    Fraud Detection & BSA/AML Regional Seminars

                    Since 2015, more than 17,000 of your peers have registered for a complimentary regional seminar. Hundreds have already registered for an upcoming event — will you be joining them?

                    Register Now

                    At these free educational seminars, join industry and product experts as they discuss current trends in financial crime and the latest advances in banking technology. You will receive in-depth training on detection and investigation strategies to help stop financial crime.

                    Attendees will receive 5 CAMS, 6 CAFP, 6 CRCM credits, or may be eligible to receive up to 5 Continuing Professional Education (CPE) credits towards industry accreditation programs, such as CFE and CFCS.

                    Register today to reserve your seat.

                      HELOC Risks

                      AVP at a credit_union ($125MUSA)
                      We are looking to see how other FI's manage risk related to their HELOC products. Does anyone have a HELOC specific risk assessment template? We heard of an issue recently where an FI had a fraudster call and request an advance from HELOC to be wired out. Later a fraudulent check was sent as payment to the HELOC. Funds were again wired. When the dust settled they were out quite a bit of money. This has prompted us to take a look at our product to see how we can minimize risks. Any help or advice you could provide with regards to HELOC risk manangement would be appreciated. 

                        New Branch Risk Assessment

                        Employee at a bank ($871MUSA)
                        Does anyone have a risk assessment to use in assessing the BSA risk for opening an office in a new market? I'm looking for something to add as an addendum to my BSA risk assessment to show how the opening of the new office would affect our BSA risk profile.

                          Demonstration | BSA/AML Compliance, Fraud Detection & High-Risk Customer Management - Join us Jan 2

                          January 2 at 12:30 PM - 01:30 PM EST
                          BSA/AML Compliance, Fraud Detection & High-Risk Customer Management
                          A Consolidated Financial Crime Management Platform

                          Register Now

                          While trying to get ahead of fraud losses and uncover illicit activity, have you ever asked yourself what you might be missing? Whether you have a single solution or a variety of systems in place, quality alerts are a critical first step to your overall effectiveness.

                          Join us for an overview of Verafin which includes highly targeted analytical agents enriched through big data intelligence with third-party data, cross-institutional analysis and Information Sharing. Learn how Verafin’s consolidated Financial Crime Management platform produces higher-quality alerts for expedited investigations, and richer, more detailed reporting.

                          Register Now