Home > News & Insights > Insights & Publications

5/7/13 - Regulatory Convergence on Vendor Management

The Consumer Financial Protection Bureau and prudential banking regulators approach vendor management from different perspectives, but end up in much the same place: Financial institutions that engage third parties to perform services are not relieved of responsibility for how those services are carried out.

Please click below to read a Sightlines InFocus by Julie Williams and P-R Stark that discusses how financial companies are reassessing their vendor oversight from both prudential and consumer-protection perspectives. Common steps include re-evaluating activities appropriate for outsourcing, developing a more rigorous process for selecting third-party vendors, establishing stronger procedures to monitor vendor performance, and reconsidering the corporate function best suited for these responsibilities.

Subscribe to Promontory Sightlines and publications   Follow Promontory on Twitter @PromontoryFG