2026 Pub. 5 Issue 2

NICB Endorsed Partners Barrett School of Banking Community Bankers Webinar Network ICBA Education ICBA Payments ICBA Securities NICB-CBAK Liquidity Program Spectrum Financial Services Travelers Inc. UNICO Group Inc. Associate Members 2026 Bankers’ Bank of the West Banker’s Compliance Consulting Barret School of Banking Blanchard Consulting Group CivITas Bank Solutions Computer Services Inc. (CSI) D.A. Davidson […]

Financial institutions like to keep their losses to a minimum when it comes to delinquent loans, but has your institution considered its Fair Lending risks associated with the process of collecting debt? As we delve into this question, let’s consider how a compliance officer or collections officer would know what examiners expect to see in place for the debt collection process.

For community financial institutions, the conversation around the future of AI in banking is no longer theoretical. Leaders are asking practical questions about how AI helps banks operate more efficiently, where it delivers measurable value and how it can be applied while maintaining transparency and trust. Nowhere is transparency more important than in a community financial institution’s CECL calculation.

It appears that, if the nominee for the next Federal Reserve chairman is confirmed by the Senate, he will have to roll up his sleeves to achieve some of his monetary policy priorities. Not that Kevin Warsh isn’t up to the task. He served on the Fed’s board of governors for five years, from 2006 to 2011, before returning to academia, and so has first-hand experience with the workings of the board. This is unusual, but not unprecedented; two recent Fed chairmen, Ben Bernanke and Janet Yellen, served as governors, left and returned to lead the Fed.

Rising competition and consumer expectations mean community financial institutions must operate more efficiently while delivering modern, personalized services. Meanwhile, advances in AI, open banking, cybersecurity and regulatory change are reshaping the industry and creating new opportunities for those who adapt.

As financial services continue to shift, community banks are positioned to be the anchors for the industry, supporting our customers and communities with a resiliency that transcends the environment. By continuing to lean into the personal relationships we build, we differentiate ourselves and bring immense value to those we serve.

Compliance is recognized by the financial industry as a high-risk function. Failure to manage it effectively can result in high costs to an institution, as witnessed by many supervisory enforcement actions and fair lending settlements over the years.