Third-party guidance spurs US bank rethink on fintech partners
For conventional vendors, banks say due diligence rules will be the toughest challenge
Bankers in the US are warning that final interagency guidance on third-party risk management could force them to rethink their efforts at partnering with fintech firms—one of the ways in which they currently try to foster innovation in the discipline.
“We are a bit complacent in dealing with risks from fintech because we always think of them as small players,” says the head of third-party risk management at one global bank. “We overlook the fact that they can become integral to our functioning
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