The Federal Financial Institution Examination Council, also known as the FFIEC, is the leading authority in the realm of regulatory standards and auditing practicing within the financial industry. The Council creates principles to promote uniformity and consistency in the supervision of financial institutions.
The FFIEC is comprised of multiple agencies, each one overseeing different sectors within the financial realm. These organizations include:
The Federal Reserve System is the central bank of the United States and promotes the effective operation of the U.S. economy through five key functions. These functions are:
The Federal Deposit Insurance Corporation, also known as the FDIC, is another supporter of the United States’ financial stability. Through insuring deposits, supervising financial institutions for the sake of safety for consumers, handling failed banks, and more, the FDIC plays a key role in establishing consumer financial confidence.
The National Credit Union Administration (NCUA) is a federal agency that oversees and regulates federal credit union systems. The NCUA aims to insure deposits at federally insured credit unions, protect those who own credit unions, and supervise these unions. By doing so, the NCUA is capable of protecting not only the federal credit union ecosystem, but also the consumers who rely on these credit unions.
The OCC, which stands for the Office of the Comptroller of the Currency, is an independent bureau of the U.S. Department of the Treasury that monitors national banks, federal savings associations, and agencies of foreign banks in the United States. The goal of the OCC is to facilitate the safe and fair operation of banks and related agencies.
As the name suggests, the Consumer Financial Protection Bureau (CFPB), has a keen focus on establishing financial markets that work for the consumer. To achieve this, the CFPB protects consumers from abusive practices and provides resources to help citizens make informed financial decisions.
The State Liaison Committee, also known as the SLC, is a conglomerate committee that consists of representatives from state agencies that supervise and regulate financial institutions. These representatives are appointed for extendable two-year terms by the Conference of State Bank Supervisors (CSBS), the American Council of State Savings Supervisors (ACSSS), the National Association of State Credit Union Supervisors (NASCUS), and the FFIEC. The SLC serves to promote the uniformity of examination standards by both state and federal regulatory bodies.
Although the focus of the FFIEC is on the standardization of regulatory and auditing standards within financial industries, financial institutions are becoming increasingly dependent on information technology to perform their business functions. With increased technological infrastructure, comes the increased risk of cyber-attacks. Cyber threats directed towards financial institutions or any of their third-party service providers will not only disrupt organizational processes, but it will also drastically decrease consumer trust in the United States’ financial stability.
Strengthening an organization’s cybersecurity posture looks different for everyone, however, there are some key principles that are applicable to anyone relying on technology for the storage, processing, or handling of data. This includes identifying any external vendors or other parties who may have access to company data, establishing a cybersecurity awareness training program to inform employees of risks, implementing methods for preventing and detecting attacks or breaches, and more.
Egis IT Security serves organizations within the Indianapolis metropolitan area and across the country to help them understand requirements set by the FFIEC. Egis is dedicated to helping others understand and implement the necessary security controls for their business. With our extensive expertise and years of experience, Egis can offer tailored solutions to help your organization align with industry standards, allowing you to focus on your business. Some of what we can offer to assist your organization in becoming compliant with FFIEC regulations:
