It goes without saying that a financial institution (FI) should have confidence in its digital banking provider. Confidence in the product they are offering their account holders and confidence that their vendor has done their due diligence. Meeting compliance requirements is not an annual activity though. It requires ongoing management.
Whether you're in the midst of renewing contracts or you've shortlisted a few vendors, it's critical that you understand how diligent your digital banking provider is about compliance. Here are a few questions to ask:
- When did they last update their compliance-related information?
- How actively do they follow compliance rulemaking?
- Do they have—and implicitly follow—a best-practices approach to compliance?
Get the assurance you want
There's no 'almost' or 'mostly' compliant when it comes to meeting requirements. A committed digital banking provider plans for and works hard to provide the highest level of compliance for their FI customers.
Ensuring compliance is no different from delivering rich innovation and product feature sets: it should be an integral part of your digital banking provider's mission to its clients. Your bank or credit union should be assured this level of attention is an absolute imperative with your current or prospective digital banking provider.
Q2, for one, offers real-time access to important Q2 due-diligence information via our client portal. Our dedication to "clear" guidance and best practices is inclusive of our third-party vendors as well. We understand the risks associated with the use of vendors for the company's critical operations and an appropriate oversight program is in place to monitor each vendor's risk management controls, financial condition, and contractual performance. For banks or credit unions which don't have the time or resources in place to properly vet all vendors, this can be a major benefit.
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