This guide is intended to be a resource for community banks when performing due diligence on prospective relationships with fintech companies. Use of this guide is voluntary and it does not anticipate all types of third-party relationships and risks. Therefore, a community bank can tailor how it uses relevant information in the guide, based on its specific circumstances, the risks posed by each third-party relationship, and the related product, service, or activity (herein, activities) offered by the fintech company. While the guide is written from a community bank perspective, the fundamental concepts may be useful for banks of varying size and for other types of third-party relationships. Banks should reference federal banking agencies’ relevant guidance.
Conducting Due Diligence on Financial Technology Firms: A Guide for Community Banks
Last Update: November 07, 2023