Financial institutions often rely upon third parties to perform a wide variety of services and other activities. The institution's board of directors and senior management are ultimately responsible for managing and monitoring these third-party relationships, and identifying and controlling the related risks as if the activity were handled within the institution.
The FDIC issued a Financial Institution Letter entitled "Third-Party Risk - Guidance for Managing Third-Party Risk" on June 6, 2008, to help financial institutions effectively manage third party relationships. During this Regulatory Conference Call, FDIC Compliance and Risk Management staff will address this guidance, including a description of the important elements of an effective third-party risk management program and the FDIC' s supervisory strategy. Regulatory references will also be provided for your convenience. Discussion topics will include:
Risk Management Program Elements
Due diligence in selecting a third party
Contract structuring and review
FDIC Supervisory Strategy
The one-hour teleconference will include a presentation and a question and answer session.
To join in the call, please register by Tuesday, August 5, 2008 by following the instructions provided. If you would like other individuals in the bank added to the distribution list for future invitations, please let us know when registering.
The name of the bank for which you are registering;
The bank location (city and state);
The first and last name of a contact person at the bank;
The e-mail address to which you would like your confirmation delivered;
The approximate total number of bank staff participating; and
The number of separate phone lines you will be using to participate (To illustrate: If your institution anticipates having three participants call in from three separate locations, while your senior staff will be at another separate location listening on speaker phone, you should indicate that four lines will be needed.)
On Friday, August 8, 2008 the toll-free number and pass code necessary to participate in the call, along with a presentation outline, will be provided to those who register.
For any questions, you may contact Kelsey Buffenmyer at 972-761-2003. We look forward to your participation.