TOPIC: Bank Communications

BID ARTICLE: Transitioning Your Communications

During this pandemic, the communication focus has been immediate, urgent and short. But, as things start leveling off a bit, communications will change too. We offer thoughts on transitioning communications from crisis-mode back to customer management-mode. Read Article: https://www.pcbb.com/bid/2020/04/17

    Providing Digital Customer Support During COVID-19

    Are you experiencing an increase in the number of questions from your customers?

    As the banking world is forced to face the sobering realities of COVID-19, banks and credit unions need to rely on their digital channels more than ever. This includes not only the transactional tools such as online and mobile banking, but the tools needed to deliver support and service across your digital channels. As your teams are forced to go remote, the number of technology related questions and basic day-to-day questions is only increasing.

    Join us March 25th at 2PM ET to learn How to Provide the Best Digital Support as Banking Customers Shift to Digital amid COVID-19. Our experts will outline steps you can take now to deliver the digital support your banking community needs in the short and long run.
    Register Now

    Can't make it? Register and we will send you a copy of the recording after the webinar!    

      Barclays' Outlook on Coronavirus Impact - Trade, Economy, Banking System Resilience, etc.

      Hi CBANC community! I wanted to share some market insight we received from our banking partner, Barclays. Just one opinion and obviously there's still a lot left to unfold but figured I'd share! Doc attached for download as well. 

      Brief summary of the Barclays coronavirus client call on Friday:

      Macroeconomic
      • Significant reduction in global growth prospects for H1 expected, with impact greatest in particularly vulnerable regions (China, Japan, South Korea, Europe)
      • Most impacted parts of the economy include the travel sector, commodities (particularly oil) and SMEs
      • Ongoing uncertainty about outlook beyond H1, driven largely by uncertain public health forecast and effectiveness of virus containment and economic measures
      • Coordination of monetary and fiscal policy to respond to the crisis is not only encouraged, but also expected (i.e. “baked into” market expectations) – as a result, expect little impact when it does occur but significant adverse impact when it doesn’t (see market response to ECB not reducing rates last week)
      Banking system resilience
      • Banking system is more resilient to respond to a credit crunch due to reforms on bank capital and liquidity requirements put in place in response to the Global Financial Crisis
      • As a result, risk of systemic failure emanating from the financial system have reduced (but not disappeared)
      • Trading floors globally have not been stress tested to a scenario where everyone has to work from home to date; however, in Asia there have been contingency measures in place for the past 4-6 weeks requiring staff to work from multiple locations, with little to no impact on functioning of global capital markets 
      Capital markets
      • Turbulent forecast even prior to coronavirus, due to unstable US/China trade outlook and Brexit
      • In moments of market uncertainty, there is typically a shift towards “save haven” assets (e.g. USD, JPY, gold). However, what we have seen over the past 1-2 weeks is a flight to liquidity (even gold price declined) as institutional investors engage in broad liquidation of their positions in an attempt to manage risk
      • In FX markets:
        • Volatility is back both among G10 and especially emerging markets currencies
        • Emerging markets liquidity has deteriorated over the past 1-2 weeks, trades executed at wider spreads
        • G10 liquidity has been more stable with lower impact on spreads (impact particularly felt on forwards)
      • Last week capped the most turbulent stretch since 2008

      Trade
      • Barclays do not currently see any extraordinary requests about additional working capital – utilisation levels in line with expectations
      • Feedback from corporate clients as follows: (i) lower stock and inventory levels, (ii) lower orders and production levels, (iii) cutbacks in production days, (iv) difficulty in finding additional suppliers to reduce their concentration risk
      • Sporadic but patchy reports that Chinese production is starting to come back to normal; however, these improvements likely to be offset by disturbances to both demand and supply in Western economies that are undergoing lockdowns
      • As this becomes a demand problem, quality of debtors becomes important – likely to result in working capital issues

        3rd Party Checks

        Employee at a bank ($388MUSA)
        Good Morning, does anyone have a sample letter they can share with me to send a customer stating we will "no longer allow them to deposit 3rd party checks to their account or it will be closed"? This customer deposits 3rd party payroll checks for, we suspect, non-resident aliens or "unbankable" persons. Thankfully, our tellers are doing OFAC checks on the payee & payors on these checks but we need to notify customer we will no longer allow this practice and be grammatically/compliance correct. Thank you.  

          Proposed Email Blast to CPA's and Lawyers - Deposit and Loan Rates

          SVP at a bank ($395MUSA)
          Commentary – Truth-in-Lending – Regulation Z 1026.2(a)(2).The advertising rules do not apply on business to business communications.  While the Commentary tells us, “ informational material, for example, interest rate and loan term memos, distributed only to business entities” are not advertisements.

          We are looking at sending an email blast to CPA's and Attorney's in a new market area who have requested updates on our loan and deposit rates. I would include, in the subject line and in the body of the email, For Internal Use Only - Do Not Distribute - Not Intended for Consumer Distribution.Reg Z addresses this in the commentary above.  I also reinforced  to our marketing staff  and bank associates, if you know the information will be given out to consumers,  we must include the required advertising disclosures.

          What about advertisement for deposits? Would full disclosure have to be emailed for deposit rates?

            Marketing to Non-Customers

            AVP at a bank ($400MUSA)
            I am wondering what techniques your financial institution is using to solicit to non-customers as well as what regulations would apply? For example: do you solicit to non-customers using information from a check that is not drawn on your bank that a customer deposited (name and address)? if so, is there any potential violation of laws? Is it not a best practice? Thank you for your comments!


              Free Webinar | AI, Machine Learning, and Your BSA/AML Program

              Thursday, January 30, 2020
              2:00 PM ET / 1:00 PM CT
              Register here:
              http://bit.ly/2ZBI2s0

              Join us for a free webinar where Gary M. Shiffman, PhD, will explain the role of Artificial Intelligence (AI) and Machine Learning (ML) in your BSA/AML program. With the support of Abrigo expert Brian Rodriguez, Gary will dive into the benefits of AI and ML, offer relevant use cases, and debunk common misconceptions about AI and ML within the BSA/AML world. Attendees will walk away with a greater understanding of who needs AI and ML, how it works, and things to look out for as these capabilities are integrated into their respective financial institutions.

              Join this session to learn:
              • AI terminology, buzzwords, and their meaning 
              • How Machine Learning effects the industry and your institution
              • Common misconceptions to avoid
              • Behind the scenes explanation of how AI reduces false positives
              Save your seat!