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#157391 - 02/05/04 10:30 PM cash counts
beegee Offline
Diamond Poster
Joined: Feb 2004
Posts: 1,092
South
We currently have some consultants in and they are recommending that we change our monthly surprise cash counts to quarterly. The benefit is time savings, the risk is the potential for more outages.

They also want to eliminate bait money. The benefit is time savings and less administration, the risk is that the robber gets away with clean cash.

What are other banks doing in this regard?

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#157392 - 02/05/04 10:50 PM Re: cash counts
Countess Kiwi Offline
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Joined: Jun 2002
Posts: 1,815
Minnesota
You may want to search the audit forum for "cash counts" and the security forum for "bait money". I initially attached the links and it looked okay when I previewed it, but looked like gobbeldy gook when it posted.
Last edited by Kiwi; 02/05/04 10:53 PM.
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#157393 - 02/06/04 01:34 PM Re: cash counts
Rocky P Offline
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Joined: Jun 2003
Posts: 7,396
Florida
You may want to check the specific security requirements of your regulator.

I believe Reg H has a stipulation for using identification devices, such as prerecorded serial-numbered bills, or chemical and electronic devices - the latter may cost significantly more.

Before changing, you may also want to determine if your police department or insurance carrier has recommendations. Bait money is prima facia evidence , same as a dye pack .
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#157394 - 02/06/04 02:45 PM Re: cash counts
RR Joker Offline
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The Swamp
Jax makes an excellent point on Reg H requirements! As far as reducing the number of cash counts...I would be in favor of that one...We went quarterly ages ago and it has been fine.
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#157395 - 02/06/04 04:08 PM Re: cash counts
ACE Offline
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Joined: May 2002
Posts: 103
We recently went from semi-annual to annual. Auditors had no problems. Kind of shocking!
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#157396 - 02/06/04 10:07 PM Re: cash counts
Risk Officer Offline
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Joined: Apr 2001
Posts: 205
Dallas
At the previous bank I was with, surprise cash counts were conducted by the teller supervisor / manager quarterly on teller drawers and monthly on vaults / ATMs. Internal audit conducted surprise cash counts annually (all vaults, all ATMs, and a sampling of teller drawers).
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#157397 - 02/06/04 10:18 PM Re: cash counts
Jokerman Offline
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Joined: Nov 2003
Posts: 12,846
Quote:

We recently went from semi-annual to annual. Auditors had no problems. Kind of shocking!




Surely someone other than the teller is counting teller cash more frequently than annually, right?

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#157398 - 02/06/04 10:54 PM Re: cash counts
Anonymous
Unregistered

We just went from quarterly to monthly certifications. We feel much more comfortable and it isn't that time consuming. Audit only counts if the records/discussions with staff indicate a control weakness in the certifications.

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#157399 - 02/07/04 03:34 PM Re: cash counts
Don_Narup Offline

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Joined: Jul 2001
Posts: 3,708
Las Vegas Nevada
So how much time are you really saving? Have these outside experts said what the time saved will be used for that is of equal or more important than the time supposedly saved by eliminating a proven safety measure.

What is being given up for a few less productive minutes a day? On the right side of a paper write all the reason why doing the process is good. On the left left the reasons why it shouldn't be done. Are reason not to more valid than those to continue?
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#157400 - 02/11/04 05:38 PM Re: cash counts
Anonymous
Unregistered

How much time does it take to have bait $? You record the serial numbers... audit it every 6 mos or so... maybe other institutions do it differently. As far as the cash count, I would definately agree. Any seminar I've ever been to, talked about what a waste of time cash counts are. There is a lot more money to be lost in wire transfers etc. One instructors philosophy was, the board of directors likes to stress about small teller offages, b/c that is something they understand. A lot of board members may not understand a lot about other functions of the bank that are more risky.

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#157401 - 02/11/04 06:23 PM Re: cash counts
Anonymous
Unregistered

Where is your risk of loss the highest - in a teller taking $100 or in wire transfer, securities, loans, etc.? This is a risk issue. Internal controls, dual control, and procedures should cover the teller area without Audit being involved monthly.

We audit cash once per year; teller supervisors at each location audit quarterly.

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