Press
BankersHub webinar covers FFIEC risks of FIs using social media
MADISON, WI (January 8, 2014) — With the December 11, 2013 issuance of final guidance from the FFIEC on the risks of social media (http://www.ffiec.gov/press/pr121113.htm), financial institutions of all types and sizes are required to evaluate the risks that the use of social media by the institution and its customers, employees, and others poses to the institution – and how to address those risks.
Online financial services educator BankersHub will host a timely webinar entitled: “Social Media Risks – FFIEC Final Guidance on Compliance, Risk Management, and Beyond” on Thursday, February 6, 2014, from 2-3:30 p.m. (EST). Noted industry legal experts Kevin Funnel, Of Counsel for Bieging Shapiro Barber LLP, and Christopher Dye, Compliance Counsel for Harland Financial Solutions, will explore the legal risks and ways in which financial institutions can “de-risk” their (and their employees’ and other third parties’) use of social media. This webinar clarifies those risks, their relative severity, and how to avoid or, at least, minimize them, are essential steps in overall risk management by all financial institutions.
“While the FFIEC claims that social media risk management programs should be designed as ‘commensurate with the risk presented by the types of social media in which the institution is engaged,’ the final guidance still requires each institution engaged in any social media activities to have a risk management program in place,” Funnel states. “Moreover, even if an institution has decided not to engage in social media activities at all, the guidance still requires those institutions to consider monitoring and responding to negative comments in social media and to consider appropriate risk management programs regarding the use of social media by the institution’s employees that might affect the institution. Therefore, the guidance has to be understood and implemented to some extent by all banks of all types and sizes. Additionally, they still need to figure out what folks are saying about them and they need to show their regulator that they at least considered the risks when deciding to pass on social media.”
“FFIEC took a lot of time to develop this guidance, which goes to great lengths to specifically address the various potential risk areas and how to develop a social media risk management program,” Dye explains. “So financial institutions need to pay attention especially since FFIEC makes it clear that its guidance is the framework for examinations.”
“Social media is growing as a ‘have to’ in today’s business environment – and financial services is no different,” states Michael Beird, BankersHub Co-founder and former Banking Practice Director of J.D. Power and Associates. “But there are risks involved – especially when you’re dealing with federally insured institutions. FFEIC has proactively handed out this final guidance so credit unions, banks, and other FIs can evaluate the risk and move forward in a safe yet effective manner. If banks fail to keep up with these regulations and guidelines, they will leave themselves, and their customers, vulnerable.”
For more information or to register for this webinar, visit: “Social Media Risks – FFIEC Final Guidance on Compliance, Risk Management and Beyond”.
About BankersHub
BankersHub was founded in 2012 by two financial services professionals, Managing Director – Financial Services Michael Beird and Managing Director – Events and Education Erin Handel. Both Beird and Handel are dedicated to educating and informing banks, credit unions, solution providers and consultants in the U.S. and around the globe. BankersHub delivers best practices, research insights, opinions, economic trends and consumer views through online web education, virtual events and conferences, live streaming activities, custom training and content development. For more information, visit: www.bankershub.net