FFIEC Announces Statement of Principles on Examination Information Requests

The Federal Financial Institutions Examination Council (FFIEC) announced that it completed the final phase of the Examination Modernization Project, a project aimed at improving the effectiveness, efficiency, and quality of examination processes with respect to community financial institutions, and minimizing regulatory burden.  The final phase of the project (1) developed and committed to implementing solutions to the redundant examination information requests, and (2) developed a common authentication system for secure access to FFIEC members’ supervision status.  

FFIEC members identified best practices for information requests from financial institutions to cut out redundant processes.  These best practices include: tailoring information requests to risk-focused information relevant to the exam, providing sufficient time to respond to information requests, coordinating requests to cut out redundancy, sending requests through the financial institution’s regulatory point-of-contact, and ensuring information requests are clearly articulated in writing.

The FFIEC evaluated the burden that authentication requirements for supervision systems place on its members and developed a common authentication system to remove the requirement for multiple credentials to access regulatory systems.  The implementation strategy gives FFIEC members the opportunity to implement the authentication system as needed, at their own pace, and as resources become available.