We would like to pay employees of an affiliate fees to bring in core deposits to the bank (small state bank). The affiliate is a securities company. What should I worry about at the bank level, if anything? The fee would be $100-$200 determined by deposit size.
There is no absolute for designing a risk management program.
The question has been raised whether we should keep credit reports for employees who have loans with our bank in a separate file not accessible to note department personnel. We keep credit reports used for annual employment screening purposes in a separate file accessible only to senior bank management. However, credit reports obtained for purposes of a loan to an employee are kept in the customer (employee) credit file as with any other customer. Are we violating the employee's privacy with this practice?
Question: I need some guidance on an affiliated business arrangement. We have an employee who is a SVP and Chief Credit Officer and is also over our Mortgage Lending Department.
The only procedures we have in place for background information on new hires is to pull a credit report and verify references.Can you please share with me some other sources/avenues that you would use in doing background checks on employees?
The bank currently offers a lower interest rate on credit cards to its employees than to its customers. Is this a violation of 12 CFR something, 12 USC 375 "a" and "b", or any other regulation?
What are the guidelines and what is allowed when a bank offers a lower mortgage rate to an employee?
by Dana Turner, Security Education Systems
Note: special thanks to Mollie Newsome Sudhoff for research and assistance with this article.
We have a system on which notes on collection activities can be stored. Currently, the system will not allow us to change the notes, not even if we misspell a word. There is talk about having our programmers change this screen to allow a collector to change the notes. Is it against any regulation/ruling to allow collection notes to be changed?