WHAT’S
UNDER THE
HOOD AT
JOSH REICH’S
How to translate mobile
tranactions into intel
As work gets more
remote, GRC gets dicey
MAY 2011
TECHNOLOGY INNOVATION. BUSINESS RESULTS.
VOL. 24 NO. 5
Gaming
Overdraf t
compliance
Vendors have adjusted
analytics to comply with
“softened” FDIC guidance
VENDORS AND BANKS ARE TRY-
ing to turn compliance with
recently revised FDIC guid-
ance on customer overdraft
notifications into new rev-
enue opportunities for banks.
Overdraft software vendors
are aiming their analytics
capabilities at detecting ex-
cessive users of automated
overdraft programs, so banks
can both better manage these
customers for risks and more
easily sell them other fee-
based services, as well as
comply with the basic tenets
of the FDIC rules.
“The changes on the sur-
face to meet the regulatory
requirements aren’t that sig-
nificant,” says Robert Hunt,
senior research director for re-
tail banking at TowerGroup.
“But the changes on the back-
end to try to restructure pric-
ing and minimize lost fees are
very significant. It’s interest-
ing how the compliance side
is driving a whole new set of
product pricing changes.”
While FDIC’s guidance
does not apply to the larger,
Leading Off, page 9
THE MOBILE ISSUE
Banks to Lead
U.S. Online
ID Strategy
payments
The NSTIC is putting government in the backseat
when it comes to web identity protection
starring dominic
venturo, Btn’s first
mobile Banker
of the year
cover story page 18
BANKS AND OTHER PAYMENT PROVIDERS ARE EXPECTED TO TAKE A
leading role in the White House’s revised strategy for securing
consumer identities online.
The guidelines, which the Obama administration announced
in mid-April, would create, under the National Strategy on
Trusted Identities in Cyberspace, a so-called identity ecosystem
for “interoperable, secure and reliable credentials.”
The strategy, which further develops prospective policies
included in a draft proposal published last June, gives private
industry the leading role, and government a supporting role, in
securing online transactions. Consumers would have one iden-
tity, managed either through a token or other technology, on a
smart card or on a smartphone.
Direct Access, page 25
Union Centralizes Vetting
Contract lifecycle management streamlines third party compliance
vendor management
THE DECISION TO REPLACE
Union Bank’s old home-
grown vendor contract man-
agement system to better
administer some 10,000 sep-
arate vendor contracts was
“easy,” says Cath Whistler,
vp and manager of contracts
management at the San Fran-
cisco-based bank.
BY THE
NUMBERS
Young
& Smart
52
percent of Generation Y consumers
own a smartphone, as opposed to
35 percent of the general population,
according to Western Union’s new
payments survey.
