Month: December 2020

  • Shameless plug alert: Helping our volunteers

    first_imgby: Anthony DemangoneI hope over the past few years you have enjoyed these musings. I hope to write them for quite a few more!Today, I want to share with you a little project I’ve been working on. Yes, this is a shameless plug. But I hope that you indulge me. The project?A training session and a book.I speak with quite a few directors, and this effort is for them.  Learn a bit more about the training session here. It will take place May 10 at this year’s Board of Director’s Conference in Louisville, KY. The foundation of the workshop is a book. Rather than describe it, I’ll share with you the book’s introduction.As always, let me know if you have any questions, and feel free to forward this email to any credit union directors that might find this useful. continue reading » 1SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblrlast_img read more

  • CUNA files RBC2 comment letter, encourages stakeholders to weigh in

    first_imgCUNA submitted its comment letter Friday on the National Credit union Administration’s revised risk-based capital plan (RBC2). While holding firm to the view that the rule is unnecessary and should be tabled, the letter offers a number of constructive suggestions to improve the rule since the agency appears determined to move forward.“I’ve said it before. I will keep saying this. A risk-based capital rule is a solution in search of a problem. What’s more, the current plan–though vastly improved from the original–is a solution that just won’t work in search of a problem that just does not exist,” CUNA President/CEO Jim Nussle said.He added, “To the more than 1,200 of you that have already filed a comment letter, I thank you for participating in this important effort to improve the rule. For those who have not yet written, I encourage you to do so.”CUNA has created a body of resources to support credit unions’ RBC letter writing and has produced the video below describing key points of its 15-page comment letter. continue reading » 2SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblrlast_img read more

  • 9 Reasons your friends are joining credit unions

    first_img 27SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblr More and more people are discovering all the great things credit unions have to offer and are becoming members. As not-for-profit institutions, credit unions are made of real people doing their best to look out for the community. Here are some of the top reasons your friends are joining credit unions:They add value to the community. From organizing drives for local causes to the Miracle Match philanthropic program, which provides financial assistance to Children’s Miracle Network Hospitals across the nation, credit unions genuinely care about their members—and their actions speak volumes. With a positive social mission, they seek to add value—not take away—from individuals and communities.They’re committed to the cause. Credit unions go above and beyond to improve the financial well-being of their members. With apps by CO-OP such as RealPay, a person-to-person payment app; and Sprig®, which serves as a virtual credit union and combines multiple banking accounts, credit unions are committed to providing resources to help you stay on top of your finances. continue reading »last_img read more

  • How to save $100 in a week

    first_imgThink you don’t have $100 to spare? Think again.Even if your budget is tight right now, there might be ways to save money that you aren’t considering. Not only are some people spending unnecessary cash on a regular basis, but many of us are sitting on untapped sources of money in our own homes. Here are five examples of ways to find extra cash in your budget. Combined, these tips could add up to $100 in savings a week— and some might be worth that much alone.1. Check Bills for ErrorsThe next time you get a bill from a doctor’s office, medical clinic or hospital, wait to pay it until you know that the amount you’re being asked to spend is accurate. According to a recent ABC News report, auditors hired by an insurance company found errors in more than 90 percent of the medical bills they examined. These discrepancies can prove devastating for patients’ budgets.Recently, I received a bill of about $200 for some laboratory tests. According to the letter, my insurer denied coverage because I couldn’t be identified as a member. However, I quickly discovered that the lab had the wrong insurance ID number for me by comparing the number on my insurance card with the one on the bill. By making a quick call, I was able to inform the biller of the mistake so a claim could be submitted to my insurer to cover the cost. continue reading » 31SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblrlast_img read more

  • 5 tips to hire right the first time

    first_imgInterviewing and hiring is never simple. Just like loving someone for all the wrong reasons, you can hire — or not hire someone — and err in judgment. Some of it has to do with them, but a lot of it has to do with us. Bottom line: Even if you’ve got the perfect candidate, creating a positive takeaway in terms of interviewing and the hiring process is critical. The first real portal into an employer brand is the recruiting and hiring process. But there are more ways to do it wrong that right.Here are five tips for getting it right the first time.1. Consider the employer brand. Keep that as your north star, everything aligned in that direction, and you’re ahead of the talent game. According to a recent study, 69 percent of job seekers would not take a job with a company that has a bad reputation — even if they’re unemployed. Which means keeping not only a positive image, but also the reality of your employer brand well-scrubbed. It is critical for attracting the right talent. It also means taking a hard looking your candidate experience.2. Sweat the small stuff, and search far and wide. Social media means everyone has access to everyone, which means there’s an incredible amount of information available for the taking and the giving. Note that 84 percent of hires would consider leaving their current job if offered a job by a company with an excellent reputation. This also confirms the old adage of leaving no stone unturned. Pay attention to the micro as well as the macro when it comes to searching for viable candidates — passive or active. continue reading » 8SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblrlast_img read more

  • Data breach response planning best practices

    first_imgThere is a high likelihood another large data breach will occur in 2016, so it is essential your financial institution is armed with a written data breach action plan that includes steps to prepare for, respond to, and recover from an attack. Provided below are best practices your credit union can take to help mitigate the financial and reputational impact of a potential data breach on your financial institution and members:PlanEstablish a formal data breach response planName your teamReview plan annuallySubmit to Board of Directors (GLBA) Conduct annual trainings with employees on data breach awareness and responseRun tabletop exercises and/or mock data breach drills annuallyCreate a security fund for unpredictable external and internal breach costsRespondDevelop an internal breach action planDesignate resources to draft notification letters, employee scripts, FAQs, press releases, etc.Adopt fraud investigation and credit monitoring servicesGive away entitlement to services up front to create more value and offset cost at breach continue reading » 10SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblrlast_img read more

  • Beneficial ownership and the dark side of the moon

    first_img 82SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblr,Ken Agle Ken Agle, President of AdvisX, brings more than 25 years of experience covering almost all facets of financial institution risk management operations. He has conducted more than 350 compliance reviews … Web: www.affirmx.com Details In the world of Bank Secrecy Act (BSA) and Anti-Money Laundering (AML), it all comes down to perspective. For many financial institutions, the perspective sometimes becomes locked down tight. Day in and day out, the systems look at the same things over and over again. In a sense, it’s like they’re looking at one side of the moon, ignoring what’s on the other side because it is harder to see.To support this analogy, permit me a brief detour to one of my favorite subjects, the Moon. It is the only heavenly body that shows its features to the naked eye. Imagine, if you were given a telescope and the job to focus solely on the Moon. Undoubtedly you would eventually know every “inch” of it quite well. But would that really tell you what the entire moon looked like? Of course, the answer is a definite no. To us earthlings, the Moon appears not to rotate. We see basically the same side of the Moon each time we gaze upon it. That’s because its rotation is synchronized with the Earth. As such, it always faces Earth. The familiar side of the Moon is called the near side. It has dark and light patches with parts that look like seas. The dark side of the Moon, as many of us call it (courtesy of Pink Floyd), is not actually called that by scientists. It isn’t any darker than say India is compared to the United States. The moon’s rotation means that it does receive light. But what does it look like? Scientists, not being quite so creative as Pink Floyd, simply call it the far side. No one knew what that it looked like until 1959 when the Soviet spacecraft Luna 3 managed to capture some images. Here is what they saw as compared to the near side of the moon:NearFarIsn’t it impressive how different the far side is compared to the near side? Much of the difference is because the crust is thicker on the far side. The near side became “locked” to the Earth and remained geologically active longer. As such, lava flows filled in craters created by meteors and the like, forming large, dark basaltic plains called maria.I suspect that seeing few of the large and dark maria must have puzzled scientists mightily when they first saw it. However, having that added perspective naturally gave opportunities to better understand the full nature of the Moon. Gaining Perspective in AMLIn the world of BSA/AML, institutions face a daunting challenge. They are tasked with identifying patterns associated with the placement, layering, and integration of funds from illegal activity to create the appearance of legitimacy. Identifying such patterns is fundamental to AML, but often is weakened by a lack of meaningful perspective. Trying to do this without an AML system is akin to trying to understand the Moon through the naked eye. You might acquire some significant understanding, but it would still be limited. AML systems were created to help identify placement, layering and integration patterns. They’re like telescopes, in that they provide a far more powerful capacity to understand the Moon. While this enhanced perspective is valuable, it does not provide the full picture necessary to understand the entirety of the situation. 2018 will usher in a new phase of BSA/AML with the implementation of beneficial ownership requirements. As I’ve worked with financial institutions seeking to implement sound controls and systems to handle beneficial ownership requirements, I have come to view beneficial ownership as a sort of Soviet spacecraft Luna 3. It will give financial institutions a new perspective, unlike anything they’ve seen for most of their history. Of course, the new rule focuses on customer due diligence related to verifying a legal entity customer’s beneficial ownership at the time a new account is opened. That is a good start. However, to complete that far side orbit requires the principle of “event-driven” triggers, such as when the credit department obtains new financials or obtains a tax return per standard ongoing monitoring. A financial institution subject to beneficial ownership requirements must conduct ongoing monitoring to identify and report suspicious transactions and to update its customer information. Event-driven monitoring will result in triggers that will require updating that information. There is another element where the near-side/far-side of the Moon analogy can be applied here. The beneficial ownership rule is not limited merely to deposit relationships from checking, savings and certificates; it also includes loans.Historically, most financial institutions have functioned as isolated departments, with the two primary departments being deposit and lending. Like a balance sheet, these sides remained as distinct from each as the near and dark side of the Moon. Beneficial ownership changes that equation. While there are few event-driven aspects with deposit relationships that might impact monitoring, there are many in the world of lending, especially in the world of commercial lending, such as the annual conducted relationship review or receipt of standard documentation required per a loan’s or line of credit’s covenants. Capturing the information especially ownership information from such events will clearly usher in a new world of monitoring. In a sense, beneficial ownership is merely another mile marker for where BSA/AML monitoring is being directed. It was launched with USA PATRIOT Act back in 2001, which started the drive to understand the connection between customers and their behavior. But, to merely focus on beneficial ownership’s technical requirements is to miss a valuable opportunity to get the full picture. Seeing the Entire MoonEven the most powerful AML systems typically provide powerful – but often one-sided – visuals. To empower them to peer into the dark side, they must be fed enhanced information. Institutions that have implemented, either by force or by internal decision, customer due diligence — including enhanced due diligence — are frequently armed with powerful data. The trick is t make sure those data are fed into the AML system. The more effective an organization is in integrating these elements, the greater its perspective will be. Moreover, most AML systems continue to progress in their monitoring of quantitative aspects against qualitative aspects. Yet often these systems neglect perhaps the greatest arsenal of data: information obtained from the institution’s lending side. This is where beneficial ownership will give a full view of the moon. Like a full moon that wanes toward a new moon, 2017 will inevitably give way to May 11, 2018, and beneficial ownership requirements. Institutions would be well advised to launch their efforts towards system integration and monitoring to ensure compliance with the technical aspects of the regulation. But, more importantly, 2017 provides a true opportunity to move forward towards the sometimes subjective – yet certainly more valuable aspects – of beneficial ownership. This new phase can usher in an era of the comprehensive understanding needed to more fully identify suspicious patterns associated with layering, placement, and integration.last_img read more

  • Latest credit union trends report shows membership and loan portfolio growth

    first_imgCredit unions are gaining members and growing loan portfolios according to our latest trends report. The economic outlook published today, and highlights include the following:During February, credit unions picked-up 538,000 in new memberships, loan and savings balances grew at a 12.8 percent and 8.4 percent seasonally-adjusted annualized pace, respectively. Firms hired 235,000 workers, nominal consumer spending increased 0.1 percent, and long-term interest rates decreased 1 basis point. Real GDP growth is expected to accelerate to 2.3 percent in 2017, faster than the 1.6 percent pace reported in 2016.At the end of February, CUNA’s monthly estimates reported 5,977 CUs in operation, 9 fewer than one month earlier. Year-over-year, the number of credit unions declined by 242, more than the 241 lost in the 12 months ending in February 2016.Total credit union assets rose 1.9 percent in February, above the 1.4 percent gain reported in February of 2016. Assets rose 7.9 percent during the past year due to a 7.5 percent increase in deposits, a 28 percent increase in borrowings, and a 5.7 percent increase in capital. continue reading » 18SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblrlast_img read more

  • The Financial Chronicles: Car ownership

    first_imgMillions of Americans have vehicles. Even with all the public transportation options and car sharing services out there, owning a vehicle is still a necessity for most people. And, with vehicle ownership comes a lot of financial responsibilities people don’t always consider when they start thinking about getting that new set of wheels. Everything from auto financing to gas and maintenance costs need to be factored in when buying a new or used car.Make your customer’s financial life a little bit easierGeezeo’s personal financial management platform gives vehicle owners and shoppers simple and easy-to-use tools to manage their finances. Our cash flow calendar helps consumers track their available funds in order to be prepared to pay bills on time. If customers are not quite ready to buy, they can create a savings goal inside the PFM and track their money as they save for the big purchase.Once they’ve created a budget they can visually track progress which makes reaching financial goals quicker and easier. The Geezeo powered platform allows customers to pull in transaction data from multiple accounts, including those at other financial institutions, so if they have an auto loan at another FI, they can still track it within your platform. Geezeo PFM enables your FI to provide a robust financial management experience and more personalized service while opening up a wealth of marketing opportunities. For example, If an account holder syncs an auto loan somewhere else, this gives your FI an opportunity to target that customer with better offers. PFM offers powerful data so you can cross-sell product online while building a position of advocacy. continue reading » 7SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblrlast_img read more

  • Women’s Leadership Workshop

    first_img 100SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblr The credit union movement owes an incalculable debt to women; according to Filene Research Institute, they make up seven out of ten credit union professionals. Without their contribution, credit unions wouldn’t have achieved the phenomenal growth that has resulted in more than 110 million U.S. members.Unfortunately, as with most industries, a leadership gap exists. The same Filene research shows that only 37% of women occupy a high-level management role and that women leaders are mostly concentrated at credit unions with less than $50 million in assets.With the deep pool of untapped female leadership talent available, it’s in the interest of credit unions to help women rise in their ranks. One way that CUNA is aiding the advancement of women leaders is by hosting the Women’s Leadership Workshop at America’s Credit Union Conference.The business case for diversity is strong – and something that all leaders should understand and support. In fact, our workshop is open to everyone because we believe that everyone has a role in fostering diversity and building opportunities for talented people.Over the course of two days at this special event, dynamic female leaders will share their success stories and offer their perspectives on how credit unions can make it easier for women to thrive as executives, managers or directors.We’ll also be discussing the skills that women need to cultivate to make it as leaders: resilience, progressive thinking, tactful communication, judicious decision making, and ambition, to name a few.The list of inspiring, talented women who will speak at the workshop include:CUNA Chief Engagement & Transformation Officer Mollie Bell, who will delve into the personal aspects of leadership and help attendees understand their own leadership stories (and ensure they end with success).Speaker, author and organizational change expert Brandi Stankovic, who will explore ideas from her latest book, The Strategic MVP, to show how leaders can enhance their impact by building their strategy around the strengths and blind spots in themselves and others.Author, speaker and leadership expert Stacey Hanke, who will share her proven “influence model” of leadership that improves communication and makes it easier to make an impact on your team.In addition to these speakers, the workshop will host small group discussion roundtables where industry mentors share their perspectives. Plus, there will be a special reception at the end of the first day at Giada de Laurentiis’ restaurant, GIADA.last_img read more