Jo Ann Barefoot discusses how RegTech promises to deliver high speed, low costs and increased efficiency by shifting regulatory and compliance efforts into the digital age.
With its enforcement of regulations governing ‘unfair, deceptive and abusive acts and practices,’ the Consumer Financial Protection Bureau raises the compliance bar for new product design and marketing.
Banks today are understandably worried about compliance issues but throwing too many resources at this non-productive activity is not the answer.
Although little noticed in the media, recent regulatory rules on remittances transfers will impose significant new costs on financial institutions.
While compliance burdens on community banks cannot yet be considered overly burdensome, these institutions need to prepare now for rising costs in the future.
As mainstream banks continue to struggle to serve the underbanked, a better approach to this market may be to support alternative providers.
Consumer Financial Protection Bureau executive David Silberman tells bankers what to expect now that retail product development falls under the new agency’s purview.
Community bank CEOs say they are spending an inordinate amount of time on regulatory compliance – and thinking about how this is impacting their customers.