Newsroom
July 22, 2014
Demangone at A.C.: Fiduciary duty, BSA, IRR
July 23, 2014 – NAFCU Executive Vice President and COO Anthony Demangone discussed the "big three" issues facing directors and supervisors of credit unions on Tuesday – fiduciary duty, the Bank Secrecy Act and interest-rate risk – during an afternoon session at NAFCU's Annual Conference.
Demangone opened his presentation with a look at fiduciary duties. He said credit union volunteers are faced with two major duties: duty of care and duty of loyalty. While discussing duty of loyalty, Demangone told attendees, especially those serving as board directors, to "put the interest of the credit union above your own. We all have vices, we all have ways we like to do things, but duty of loyalty says you put that aside and ask, ‘Is this in the best interest of the credit union?'" he said.
The next subject up was the Bank Secrecy Act. Demangone said credit unions need to be aware of the BSA framework and its requirements. He said credit unions should especially be aware of money laundering, mortgage fraud, check kiting, identity theft, computer intrusion and credit card fraud within their operations. He asked attendees, on a scale of 1 to 10, to rate how well they understand their BSA risks.
The third and final topic Demangone discussed was interest-rate risk. He told attendees that at some point interest rates are going to rise and explained NCUA's expectations in that event. He discussed NCUA's supervisory focus on interest-rate risk and noted that in 2012 the agency began requiring certain credit to have a written policy on interest rate risk management. "You can never eliminate risk; you have to manage risk," Demangone said.
NAFCU's Annual Conference and Solutions Expo runs through Friday in Las Vegas. Stay up to date on the conference by downloading NAFCU's mobile app.
Demangone opened his presentation with a look at fiduciary duties. He said credit union volunteers are faced with two major duties: duty of care and duty of loyalty. While discussing duty of loyalty, Demangone told attendees, especially those serving as board directors, to "put the interest of the credit union above your own. We all have vices, we all have ways we like to do things, but duty of loyalty says you put that aside and ask, ‘Is this in the best interest of the credit union?'" he said.
The next subject up was the Bank Secrecy Act. Demangone said credit unions need to be aware of the BSA framework and its requirements. He said credit unions should especially be aware of money laundering, mortgage fraud, check kiting, identity theft, computer intrusion and credit card fraud within their operations. He asked attendees, on a scale of 1 to 10, to rate how well they understand their BSA risks.
The third and final topic Demangone discussed was interest-rate risk. He told attendees that at some point interest rates are going to rise and explained NCUA's expectations in that event. He discussed NCUA's supervisory focus on interest-rate risk and noted that in 2012 the agency began requiring certain credit to have a written policy on interest rate risk management. "You can never eliminate risk; you have to manage risk," Demangone said.
NAFCU's Annual Conference and Solutions Expo runs through Friday in Las Vegas. Stay up to date on the conference by downloading NAFCU's mobile app.
Share This
Related Resources
Add to Calendar 2024-05-07 14:00:00 2024-05-07 14:00:00 BSA Training for the Board of Directors This webinar, BSA Training for the Board of Directors provides vital training with a comprehensive overview of the Bank Secrecy Act (BSA), anti-money laundering (AML) and combatting the financing of terrorism (CFT) compliance requirements. You’ll explore the ramifications of non-compliance and gain insights into the expectations and requirements set forth by the National Credit Union Administration (NCUA). This includes discovering how board engagement plays a pivotal role in fostering a robust BSA/AML compliance program within your credit union. Don’t miss this opportunity to equip your board with the knowledge and insights needed to navigate the regulatory landscape effectively. Key Takeaways Identify BSA/AML compliance requirements Review board member duties as it relates to BSA/AML compliance Examine current regulatory actions that may impact your credit union Register Now $295 Members | $395 Nonmembers(Additional $50 for USB)One registration gives your entire team access to the live webinar and on-demand recording until May 2, 2025Go to the Online Training Center to access the webinar after purchase » Who Should Attend Board members Board chairs and vice chairs Supervisory committee members Presidents/CEOs Executive assistants Education Credits NCRMs will recieve 1.0 CEUs for participating in this webinar NCCOs will recieve 1.0 CEUs for participating in this webinar NCBSOs will recieve 1.0 CEUs for participating in this webinar NCVEs will recieve 1.0 CEUs for participating in this webinar Web NAFCU digital@nafcu.org America/New_York public
BSA Training for the Board of Directors
Credits: NCCO, NCBSO, NCRM, NCVE
Webinar
Add to Calendar 2024-05-06 14:00:00 2024-05-06 14:00:00 Overview of Regulation CC Join us for this webinar, Overview of Regulation CC, and you’ll delve into the intricacies of the Expedited Funds Availability Act and Regulation CC. This includes gaining invaluable insights on effectively implementing funds availability requirements, navigating the process of placing holds on deposited items and crafting comprehensive disclosures for your members. Don't miss this opportunity to enhance your understanding of regulatory compliance in the financial landscape. Key Takeaways Know the funds availability requirements Learn what must be included in disclosures Comprehend extended holds Register Now $295 Members | $395 Nonmembers(Additional $50 for USB)One registration gives your entire team access to the live webinar and on-demand recording until April 18, 2025Go to the Online Training Center to access the webinar after purchase » Who Should Attend NCCOs NCRMs Compliance and risk titles Education Credits NCCOs will receive 1.0 CEUs for participating in this webinar NCRMs will recieve 1.0 CEUs for participating in this webinar Web NAFCU digital@nafcu.org America/New_York public
Overview of Regulation CC
Credits: NCCO, NCRM
Webinar
Add to Calendar 2024-04-25 14:00:00 2024-04-25 14:00:00 ChatGPT: What AI can do for you! ChatGPT has been created with one main objective – to predict the next word in a sentence, based on what's typically happened in the gigabytes of text data that it's been trained on. Did you ever hear of the saying, “People fear the unknown?” Artificial intelligence scares people, but it is the future, and you need to understand the tools and resources it offers. It’s also about saving time, that’s what technology and in this case, artificial intelligence can do for you. If you want to save time and have a better quality of life, this training is for you. Once you give ChatGPT a question or prompt, it passes through the AI model and the chatbot produces a response based on the information you've given and how that fits into its vast amount of training data. It's during this training that ChatGPT has learned what word, or sequence of words, typically follows the last one in a given context. During this webinar, ChatGPT: What AI can do for you, you’ll discover the background, purpose, usability, and the pros and cons. Don't miss this opportunity! Key Takeaways Learn the background of AI Understand the purpose of AI Identify the pros and cons Register Now $295 Members | $395 Nonmembers(Additional $50 for USB)One registration gives your entire team access to the live webinar and on-demand recording until April 25, 2025Go to the Online Training Center to access the webinar after purchase » Who Should Attend NCRMs Risk titles Education Credits NCRMs will recieve 1.0 CEUs for participating in this webinar Web NAFCU digital@nafcu.org America/New_York public
ChatGPT: What AI can do for you!
Credits: NCRM
Webinar
Add to Calendar 2024-04-23 14:00:00 2024-04-23 14:00:00 Monitoring the Latest Litigation Risks Credit unions’ operations pose litigation risks, with more of these cases being filed as class action lawsuits. In this Monitoring the Latest Litigation Risks for Credit Unions webinar, you’ll review some of the specific kinds of lawsuits impacting credit unions and what potential claims could be on the horizon. You’ll also examine some options for mitigating risks. Key Takeaways Review the current lawsuit trends. Understand the potential claims risks Explore options for mitigating risks. Register Now $295 Members | $395 Nonmembers(Additional $50 for USB)One registration gives your entire team access to the live webinar and on-demand recording until April 23, 2025Go to the Online Training Center to access the webinar after purchase » Who Should Attend NCCOs NCRMs Compliance and risk titles Education Credits NCRMs will recieve 1.0 CEUs for participating in this webinar NCCOs will recieve 1.0 CEUs for participating in this webinar Web NAFCU digital@nafcu.org America/New_York public
Monitoring the Latest Litigation Risks
Credits: NCCO, NCRM
Webinar
Get daily updates.
Subscribe to NAFCU today.