Bank Examiners Ben Cayson Meghann Beamer Michael Sisco Sam Hubbard
Mississippi Department of Banking and Consumer Finance Bank Examiners Ben Cayson Meghann Beamer Michael Sisco Sam Hubbard Mississippi Department of Banking and Consumer Finance
> Commissioner Charlotte Corley > Deputy Commissioner Rhoshunda Kelly> Director, Banking Division Sam Hubbard > Chief Examiner Roger Sinclair > Chief Examiner Nicky Shelton > Supervisory Examiners > On-site Examiners (30) > 17th Largest Banking Department in the Country DBCFs Authority DBCFs Authority Banking Division DBCFs Authority Consumer Finance Division DBCFs Authority Mortgage Division Bank Regulation/Charters Bank Regulation/Charters
State CharteredInstitutions Bank Regulation/Charters
National Charter Bank Regulation/Charters
Fed Reserve State Charters canchoose to be amember of the Fed Regulated jointly bythe State and FedReserve Bank Regulation/Charters
Federal Deposit Insurance Corporation Is a Federal corporation that providesinsurance to protect depositors FDIC regulates all banks that carryFDIC insurance; however, the FDICmostly examines State chartered banks Mississippi State Chartered Banks
Under $1 Billion $1 Billion - $10 Billion Renasant, BankPlus, Bankfirst, Metropolitan Over $10 Billion BancorpSouth, Whitney Total *17 additional Nationally Chartered Banks inMississippi Bank Examiners Bank Examiners Are appointed under state or federal law to inspect and audit the operations and accounts of banks Bank Examiners Examiners determine: Unsafe and unsound practices
Violations of law and regulation The adequacy of internal controls/procedures The general character of management Why Banks are Regulated? Protect the safety of the publics savings Maintain public confidence in the integrity of the banking system Evaluate a banks adherence to laws and regulations Help the FDIC protect the Insurance Fund Identify the nature, severity, and cause of a banks problems Recognize emerging risks and develop effective corrective measures Types of Safety and Soundness Exams Types of Safety and Soundness Exams
Full Scope Examination Detailed Evaluation of CAMELS Risk Focused Examination Focuses on highest risk areas of institution Limited Scope Examination/Visitation Flexible format and can be used to examine any concerns that might arise with the institution Types of Safety and Soundness Exams CAMELS CAMELS Examiners use the Uniform Financial Institution Rating System Which is known as CAMELS: Capital Asset Quality Management Earnings Liquidity Sensitivity to Market Risk CAMELS CAMELS ratings are assigned based on a numerical scale from 1 to 5, with 1 indicating the highest rating, lowest degree of supervisory concern. A 5 rating indicates the lowest rating, highest degree of supervisory concern. The overall Composite rating is not an average and is determined by the degree of risk one component or several components could have on the institution. Capital Adequacy Asset Quality Management Earnings Liquidity Sensitivity to Market Risk Other Processes Strategic Planning and Budgeting Future road map for banks
Loan Discussion Specialty Exams IT, BSA, and Trust Meetings with Management Cycle All State chartered banks under an Enforcement Action are joint exams with the FDIC and require a 12 month exam and a 6 month visitation. All State chartered banks under an Enforcement Action are joint exams with the FDIC and require a 12 month exam and a 6 month visitation. All State chartered banks with assets over $1 billion require a 12 month exam and are joint with the FDIC. All State chartered banks under an Enforcement Action are joint exams with the FDIC and require a 12 month exam and a 6 month visitation. All State chartered banks with assets over $1 billion require a 12 month exam and are joint with the FDIC. All State chartered banks with assets over $10 billion require a continuous exam and are joint with the FDIC. All State chartered banks under an Enforcement Action are joint exams with the FDIC and require a 12 month exam and a 6 month visitation. All State chartered banks with assets over $1 billion require a 12 month exam and are joint with the FDIC. All State chartered banks with assets over $10 billion require a continuous exam and are joint with the FDIC. All State chartered/State member banks not under an Enforcement Action and under $1 billion require an 18 month exam and are alternated with the FDIC/Federal Reserve. S Facing Banks COMMUNITY BANKS COMPETING WITH LARGE INSTITUTIONS
Loan demand Trust Preferred Securities Appraisals/Evaluations DATA SECURITY REGULATION Credit Unions Outsourcing Basel III Capital Requirements Summary Mississippi Department of Banking and Consumer Finance Bank Examiners Laws and Regulations Exam Process Current Issues