In Case of an Emergency at Your Credit Union

Flooding, wildfires, landslides, hurricanes, tornadoes … all a sign that spring is finally here as well as a sign that your credit union needs to have a solid disaster recovery plan in place. Just in case. 

Having a good disaster recovery plan in place not only reassures your management, staff and members that you’re prepared, but it can also save your credit union money. Every hour of downtime after a disaster can translate into tens of thousands of dollars lost.

So, with the negative signs of spring popping up all around us, here are some tips to consider when planning for disaster recovery:

• Staff preparedness – Make sure your staff knows how you’ll stay in touch in case of a disaster. Maybe set up a special number for them to call for updates.
• Member communication – Part of your plan should include a communications plan for your members as well. Keeping in touch via social media is one of the simplest ways to do this, as well as knowing how you’re going to handle incoming phone calls.
• Rehearse – It’s one thing to have a plan on paper, it’s another to have to implement it. That’s why it’s good to have dry runs and rehearsals of your plan so employees understand what they need to do and what the operating procedures will be.
• Test it – Use a cross-section of staff to develop, test and implement disaster preparedness and response plans at your credit union.
• Multiple solutions – Data storage and recovery can be a major issue during a disaster. Don’t rely on just one system to keep all of your credit union’s information safe. Having a localized and cloud backup in place can save you time and money if you have to restore data.
• Additional backup – Your credit union’s data isn’t the only component that needs a backup. Have an emergency chain of command ready as well as a backup worksite, equipment, vendors and any other resources you use regularly.
• Stay up-to-date – Once you have a comprehensive plan in place, your work doesn’t stop there. Look at the plan as a living document that needs to constantly be updated. Circumstances, resources and technology are always changing, so should your disaster recovery plan.

All of these measures will not only help your staff and members recover and save your credit union money and stress, they will also help keep your credit union compliant. Click here for some useful disaster recovery resources from CUNA and NCUA.  

Whether you have a current plan in place or need to start from scratch, CU Solutions Group can help make sure your credit union is prepared for any disaster. Our solutions include an online recovery manual, vendor management, equipment management and social media planning. 

Why Credit Union Vendor Management Matters

Regulations seem to change quicker than the seasons when you’re a financial institution. These frequent changes can lead to compliance chaos if your credit union isn’t ahead of the game by having comprehensive systems firmly in place. One necessary regulatory need that often gets overlooked is vendor management.

CUNA and Abound Resources partnered to survey credit unions about their vendor management programs and discovered:

• 93% believe vendor management will be an urgent or very important priority over the next two years.
• 33% of executives in charge of vendor management are dissatisfied with their programs.
• Executives in charge of vendor management spend more than a quarter (27%) of their time dealing with vendor management issues.
• 89% of credit unions request financials from critical or high-risk vendors – but only 33% of them actually review those financials.

Take the Lead

This data is a great example of why credit unions need to take the lead in their own due diligence by having their own security measures and systems in place to uncover and gaps on their own. Most credit unions, due to their limited resources, tend to rely heavily on third-party vendors. This can limit a credit union’s ability to monitor and ensure compliance and security measures are being met.

A simple solution for this due diligence dilemma is to enlist the assistance of a third-party vendor management service that makes it easy for credit unions to organize and keep tabs on their vendors – all in one place. This can facilitate day-to-day operations as well as any necessary visits from regulatory examiners. The time to rely on vendors to adhere to regulations and maintain compliance is over. Credit unions need to take full ownership of these relationships and protect themselves from any potential breeches by utilizing respected outside vendor management services. 

Discover how CU Solutions Group can help you with your vendor management needs.