Industry Publishes Y2K "Top Ten" List Banks Join Forces To Heighten Awareness Of Y2K Issues

The Bank Administration Institute, based in Chicago, has been sharing strategies addressing the Year 2000 issue through continuous Industry Forums starting in 1996. Forty of the nation's largest banks, and many community banks are represented in the group that examined planning, testing, credit risks and other issues.

Because there has been so much well publicized hype about year 2000, the group developed a "Top 10 Awareness" list with information for our depositors, their money, and the year 2000.

Bank Still Safest Place
The group emphasizes that the bank, where each depositor's accounts are insured up to $100,000 by the Federal Deposit Insurance Corporation (FDIC), is still one of the safest places for money when the century date changes.

Banks are being advised by federal regulators that they should have already substantially completed their mission-critical hardware and software systems. Supervisory agencies - including the Federal Reserve, the Office of the Comptroller of the Currency, and the FDIC - have examined the processes that the nation's 10,000 banks have in place to deal with the year 2000 challenge (also known as "Y2K").

Help Others
All financial institutions should now be working with their customers and their local communities around the country to heighten year 2000 awareness.

Here is the "Top 10 Awareness" list with information consumers should know about their money, their bank and the year 2000. You might want to pass these on to your depositors.

Did You Know That?

1. the financial services industry is ranked first in year 2000 preparedness?
2. federal banking regulators have issued extensive guidance on year 2000 issues to all banks?
3. banks are working together to share lessons learned in an effort to help solve the year 2000 problem across the industry?
4. banks keep backup records of transaction information? Consumers also have backup information in the form of transaction receipts and periodic statements on deposit, investment or loan accounts. It is always a good idea to maintain proper banking records. However, in preparing for the year 2000, there is no need to retain more than the usual types of documentation.
5. the century date change does not affect your deposit insurance coverage?
6. banks already have contingency plans in place? These plans identify pre-defined solutions to handle many potential business disruptions and are being updated to prepare for an orderly transition into the year 2000 for bank customers.
7. if you use a personal computer to bank from home, you will want to determine if the PC hardware and software is able to handle the date change?
8. if you own a small business, you should assess how the year 2000 may impact your business? Some of the areas you may want to review include your computer systems, equipment and vendors which provide a service to your business.
9. many of the financial institutions, utility companies and governmental agencies with whom you do business have year 2000 information available? Websites are usually a good place to start learning about the company's efforts.
10. local trade associations may need your help to be part of the year 2000 solution in your community?

Used with permission from Bank Administration Institute. For further information, contact: B.A.I., Clint Swift, 312.683.2402 or at cswift@bai.org

Copyright © 1999 Bankers' Hotline. Originally appeared in Bankers' Hotline, Vol. 9, No. 1, 1/99