2022 from a Risk Perspective
By Juan Escano
Half way through the first quarter of 2022 it might be valuable to review the risk priority lists for Credit Unions. The NCAU has just issued guidance for 2022 and several industry experts have shared their ideas. After looking at that information, combining with what we are hearing from our own contacts, we have our priority list for 2022.
We expect 2022 to see an increase in remote work opportunities for employees. That can increase risk levels in several areas but our two most egregious are ransomware and authentication/access controls. Ransomware continues to be a big priority for us because over 72% of all attacks come against companies with less than 1000 employees. That potentially impacts over 60% of credit unions. And it goes without saying that remote work and access means a strengthening of access controls and verification of clients.
Another emerging risk is surprising. Payment processing and the ability to accept multiple payment processing tools is a must for our industry. That will include crypto-currencies. In fact the NCUA just issued guidance for working with 3rd party providers. Given the digital age and the youth of our client base it makes sense to be in on this.
Automation and Digital Banking in our top list as well. Robotics, Artificial Intelligence and Loan decisioning are industry staples. We expect to see continued advancement in these areas. Complimenting these advances will be the continued desire of customers for digital access to banking needs. This could indicate that we will see fewer and fewer brick and mortar offices
To finish our list we are including Credit Risk Management. AS we move away from COVID and hopefully the war in Europe, business will want to expand, small businesses will want to grow, and consumers will want to get back on track. The need for loans should grow requiring strong risk management processes.
We are looking forward to 2022. Check out ZHORSE GRC solutions to support your risk management needs especially our complimentary risk assessment.
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