TOPIC: FDIC

CDD: One Year Later | Survey Request

It's officially been one year since the CDD rule went into affect. Have you had an exam since then? What aspects of CDD and beneficial ownership, if any, did the examiner focus on? 

We're doing a short survey on the impact CDD is having on recent exams and would appreciate if you could take a few minutes to fill it out. We're happy to share the results if you participate. 

Thank you! 

Survey: https://www.surveymonkey.com/r/QCJ33BN

    Basic Knowledge/Risks of Private Banking for BSA

    VP at a bank ($7.6BUSA)
    I am interested in learning more about private banking. I have read the exam manual and I know what I know from my CAMS course, but still would like some real world pitfalls. I have heard from others to avoid calling your program "the private bank" because often you are not really doing a true private banking relationship but the name itself draws scrutiny. 

    We are not talking about banking foreign individuals, but more or less just personalized service. I intended on having an increased level of CDD/KYC but other than that, can anyone share any stories or regulator criticisms you have had?

    Thank you, 

      FDIC issued a letter this week to banks regarding technology service provider contract deficiencies

      This Tuesday, the FDIC issued a "Financial Institution Letter" (see attached) to all insured banks in the US. In general, the letter identifies certain deficiencies in bank contracts with technology service providers, based on examiner feedback. Passing this along in case anyone in the network who manages vendors or negotiates vendor contracts missed it.

        De Novo Banks vs. FinTechs: What do you think the future of start up banks will be?

        Hi Everyone,
        Did you get a chance to see Jelena McWilliams, Chairman of the FDIC speech last week?
        If not here it is https://www.fdic.gov/news/news/speeches/spmar1419.html. We found the part about De Novo Banks the most interesting. Only 2 were created from 2010-2016. Do you think the initiatives are enough on the FDIC’s part to help to create more banks, or do you think Fintechs are going to be the new banks? What are your thoughts?

          Is This Partnership a Right Fit? More than 50 Banks Found Out Firsthand.

          In January, 56 community banks from 20 states joined Bankers Healthcare Group for a behind-the-curtain experience at our Informational Regional Seminar in Nashville, Tenn.

          Our 75 attendees heard from BHG’s Founder/Chairman/CEO Al Crawford and c-suite leadership team in finance, credit, underwriting, compliance, marketing, sales, and analytics. This was a great opportunity for them to learn about our business model, commercial medical loan program and financial strength, and uncover new revenue opportunities for their banks.

          We had a great mix of prospective customers and current customers from some of BHG’s 940 bank partners, which gave everyone a chance to network and learn. Prospective customers love to hear about the experiences of current customers, while current customers appreciate the business and product updates, as well as the opportunity to connect with key BHG contacts.

          Our seminars are a great way to get to know BHG—and we hold them throughout the year, across the country. If you’d like to attend an upcoming seminar, please email bhgbanks@bhg-inc.com or call 877-731-6562 to get the details!

          About BHG: Bankers Healthcare Group (BHG) is the leading provider of financial solutions for licensed healthcare professionals. The company originates, underwrites and funds medical and professional loans before selling them to local banks nationwide.

          To date, BHG has underwritten nearly $15 billion in commercial loan requests with an average size of $100,000, providing a network of more than 940 U.S. community banks a source for premium loans, portfolio diversification, and competitive yields without overhead costs traditionally associated with this quality borrower. Banks purchase BHG loans through a secure, online system that allows for daily sale and delivery of loans. This has been a highly effective channel for a bank to quickly approve and purchase loans according to their underwriting standards. BHG’s 2018 sales distribution has averaged $4 million per day and new loans are posted daily.

          Pinnacle Financial Partners, Inc., and its subsidiary Pinnacle Bank hold a 49% total interest in BHG.

            How the Government Shutdown is Affecting Regulatory Agencies

            Good afternoon, Bankers! Today's topic is the current government shutdown. This post originally appeared on the Ncontracts blog.

            How the Government Shutdown is Affecting Regulatory Agencies

            The partial government shutdown has furloughed workers at the national parks, the Smithsonian museums, the IRS, courts, and other federal institutions, but enforcement actions from federal banking agencies continue...

            READ THE FULL PDF: Download the attached PDF

              Educational Seminar in Nashville, 2019

              See why more than 925 of your peers have purchased loans from Bankers Healthcare Group, at the upcoming Nashville Info Seminar.

              • Engaging seminar - Hear from the Founder/CEO and the c-suite leadership team in finance, credit, regulatory, marketing, sales and analytics.
              • Understand the 5 convenient, hassle-free methods to purchase loans.
              • Discover additional revenue opportunities for your bank:
                • Consumer loans to licensed medical and other professionals
                • Patient lending – connecting community banks to hospitals and surgery centers
              • Network with key BHG personnel and other community banks from around the US.

              Email us at bhgbanks@bhg-inc.com or call 866-461-5069 to find out the details!

              "The BHG Info Seminar was an excellent experience. We are new to BHG, having just purchased our first loan last month. It’s was a valuable experience to have the company’s staff answer your questions and talk to other banks who have experience with BHG. I was able to learn how they manage their portfolio and loan terms. The event was first-class, all the way. I came away very impressed with BHG." – Minnesota Bank President

              About BHG: Bankers Healthcare Group (BHG) is a well-established, direct lender that has a commercial loan program specifically tailored to the business needs of licensed healthcare and other professionals. BHG has provided over $4 billion of these originated, underwritten and funded loans to 925+ community banks throughout the US since 2001.

                Joint Statement Offers Support and Guidance for New Innovation Pilot Programs

                Some financial institutions have had a fear that they will receive regulatory scrutiny for exploring emerging technologies in the BSA/AML space. This week, the Fed, FDIC, FinCEN, NCUA and OCC (the Agencies) laid some of that fear to rest by collectively issuing a statement showing strong support for innovation in the fight against money laundering and terrorist financing. The joint statement aims to encourage responsible innovation to protect our financial system from illicit financial activity.

                In our latest blog, Jessica Caballero, CRCM explains what this means for financial institutions and their BSA programs and advice on how to implement a pilot program at your institution.

                Read the full blog.

                  CBANC Premium - Workspace Tips

                  Here is a quick tutorial on how to add users to your CBANC Premium Workspace application. Workspace is a central source of truth for your policies, procedures, and other important documents. It also includes 25 policy & procedure checklists, updated by experts as regulations change, to help your team hit the ground running. Workspace is great for collaborating with your board of directors, impressing your examiners, and streamlining policy and procedure management. Works great on iPads without the need to download additional software and has bank-level security built in.

                    Reminder! Free May Webinar - Managing the Risk of Cyber Threats: Assessing Third Parties and Measuring What Matters

                    Don't forget! You are invited to our May webinar discussing the risks and opportunities associated with cyber threats. Register for free today! If you are not able to make it to the live event, we will send you the recording afterwards.

                    A recent Harvard Business Review survey stated that 85% of those surveyed expect financial impact to rise from cyber breaches while only 23% of respondents said their strategic plan addresses business risk. Join study co-author & leading cyber expert Reid Sawyer and third-party risk expert Michael Berman for a presentation that’s sure to help both C suite and frontline managers better understand the risks and opportunities associated with this timely issue of cyber risk.

                    Session takeaways:

                    • Exploration of how FFIEC, OCC, FDIC and Fed mandates overlap regarding vendor management
                    • Best practices in vendor due diligence reviews and contract management to decrease cyber risk
                    • Re-conceptualize threats from a strategic not tactical mindset
                    • Mandates for stress testing
                    • What the future holds with cyber risk

                    Register Today

                      Free May Webinar - Managing the Risk of Cyber Threats: Assessing Third Parties and Measuring What Matters

                      Hello, Bankers! You are invited to our May webinar discussing the risks and opportunities associated with cyber threats. Register for free today! If you are not able to make it to the live event, we will send you the recording afterwards.

                      A recent Harvard Business Review survey stated that 85% of those surveyed expect financial impact to rise from cyber breaches while only 23% of respondents said their strategic plan addresses business risk. Join study co-author & leading cyber expert Reid Sawyer and third-party risk expert Michael Berman for a presentation that’s sure to help both C suite and frontline managers better understand the risks and opportunities associated with this timely issue of cyber risk.

                      Session takeaways:

                      • Exploration of how FFIEC, OCC, FDIC and Fed mandates overlap regarding vendor management
                      • Best practices in vendor due diligence reviews and contract management to decrease cyber risk
                      • Re-conceptualize threats from a strategic not tactical mindset
                      • Mandates for stress testing
                      • What the future holds with cyber risk

                      Register Today

                        New Regulatory Guidance About Cybersecurity Insurance

                        Hello, Bankers! Today we are discussing cybersecurity insurance. This post originally appeared on the Ncontracts blog.

                        New Regulatory Guidance About Cybersecurity Insurance

                        Does your institution need cybersecurity insurance? Is it required? If utilized, are there rules? Cybersecurity insurance can protect against financial loss in the event of a cyber incident, but there are many intricate details...

                        READ THE FULL ARTICLE: Download the attached PDF