KENTUCKY BANKER MAGAZINE December 2013
As we celebrate our 25th Anniversary, we express our sincere appreciation for the support and loyalty of our customers.
Our goal, like that of the Community Banks we serve, continues to be delivering the leading, strongest customer service in the correspondent banking industry. We look forward to the future and the continued opportunity to care for our customers.
800.248.3229 | 502.695.3000 | www.bbky.com
EXECUTIVE
CONTENTS KBA STAFF
Ballard W. Cassady Jr. - bcassady@kybanks.com President & CEO Debra K. Stamper - dstamper@kybanks.com EVP / General Counsel / Director of Compliance Paula B. Cravens Sturgeon - pcravens@kybanks.com Director of Education Solutions Selina O. Parrish - sparrish@kybanks.com Director of Vendor Solutions Matthew E. Vance - mvance@kybanks.com Chief Financial Officer
STAFF
Miriam Cole - mcole@kybanks.com Executive Assistant Paula Cross - pcross@kybanks.com Education Services Coordinator Jamie Hampton - jhampton@kybanks.com Education Services Coordinator Natalie Kaelin - nkaelin@kybanks.com Assistant General Counsel Chris Kelso - ckelso@kybanks.com Manager of AIB Education Solutions Michelle Madison - mmadison@kybanks.com IT Manager Lanie Minton - lminton@kybanks.com Administrative Assistant Tammy Nichols - tnichols@kybanks.com Convention & Membership Services Coordinator Katie Rajchel - krajchel@kybanks.com Staff Accountant Yvonne Savage - ysavage@kybanks.com PAC Services Coordinator Angie White - awhite@kybanks.com Director of Communications / Marketing Steve Whitlow - swhitlow@kybanks.com Systems Engineer Consultants John P. Cooper - jcooper@kybank.com Governmental Affairs Consultant KBA Insurance Solutions Chuck Maggard - cmaggard@kybanks.com President & CEO Brandon Maggard - bmaggard@kybanks.com Account Representative Audrey Whitaker - awhitaker@kybanks.com Insurance Services Coordinator KBA Benefit Solutions Lisa Mattingly - lmattingly@kybanks.com Director of Sales & Service Lane Hettich - lhettich@kybanks.com Service Manager Donna McCartin - dmccartin@kybanks.com Account Representative HOPE of Kentucky Billie Wade - bwade@kybanks.com Executive Director
Cover
Photo taken by Alecia Marcum “Who Came Down That Road?” for the Scenes of Kentucky Photo Contest
COLUMNS Chairman’s Corner..........................5 Straight Talk..................................6 My Two Cents................................8
DEPARTMENTS Education.....................................20 Products and Services...................16 Making News................................12 On the Move.................................23
FEATURES One on One.................................10 How has the IT Security Challenge Changed over the Past Decade......14 Taylor County Bank News..............19
December 2013 | 3
With Operation 411, compliance isn’t a 911.
In the next few years, financial institutions will face mandatory changes to the self-service channel. Diebold is responding now, with Operation 411: 4 compliance requirements, from 1 company with 1 request. With Diebold as a proactive partner, you’ll be efficiently ahead of change to meet everything from Windows® 7 updates to PCI compliance. Operation 411. It’s another example of how Diebold never stops watching the future, as it helps you now.
For the entire story, visit www.diebold.com/411.
requests@diebold.com www.diebold.com.
CHAIRMAN’S CORNER disagree with examiner conclusions. Appealing to another employee of the same regulator who wrote the comment lacks independence and transparency. I certainly have heard no evidence that makes me believe this process works satisfactorily. Part of the problem might be bankers’ reluctance to complain to the same agency that just wrote the report for fear of retribution at future exams. Whatever the cause, it is a broken and ineffective forum for complaint resolution.
Neil Bryan KBA Chairman
Welcome to the Christmas issue of the Kentucky Banker! This is considered a season of joy and hope. For those of us who are Christians, we celebrate the coming of a Savior. Almost every religion commemorates a holy event in this month where enlightenment and rebirth are central themes. Looking back at 2013, I think we need to end this year in a spirit of hope. Joy might be a little harder to come by in our professional lives though. This has been a year of paradox. Maybe I am too obtuse to understand how a state with only one bank failure since the bubble burst in 2008 can lead the country in enforcement actions by the FDIC. Possibly my intellect is so lacking that I just cannot understand the wisdom of pushing regulations written for ten billion dollar banks down to banks under $250 million. Those decisions, coupled with a myriad of similar circumstances, did not conspire to bring a lot of joy to Kentucky bankers this year. Hope is a different matter. It is forward looking and attitudinal. We can choose to hope for better things. However, hope in and of itself does not bring about positive change. A shared vision is a necessity. The willingness to step out of our comfort zone is required. Thinking outside the box can sometimes be helpful.
I hope that 2014 might be the year this inequity is addressed. My vision is for the creation of a truly independent body that can arbitrate legitimate disagreements between bankers and regulators. Given the complexity of the rules, the differences in individual banks, unique local circumstances, and lack of hard guidelines for some components of the CAMELS, disagreement is probably inevitable. A respected, impartial body to hear these disputes would be a productive step for our industry. It would help insure that accountability and fairness is incumbent in the regulatory process. That is part of my vision for our collective future. I hope you and the Association will share that vision. If you do, I challenge us collectively, and you individually, to work together to make it a reality. During the KBA Convention many of you discussed with me your experiences. Listening to your comments, along with my own experiences, reinforced my perception of the critical need for the reform of this process. I would invite you to support legislation that would mandate this change such as the bill currently being sponsored in Congress by Kentucky’s own Representative Andy Barr. I would encourage you to take up this issue with both your state and federal legislators. Let them know this is of importance to Main Street America. We need more objectivity in the process. Otherwise we run the risk of being subjected to one-size-fits-all “solutions” that create more problems than they resolve. Thank you for your support of the KBA this past year. I hope you and your families have a wonderful and joyous holiday season. If we can be of any service to you or your bank, please let us know.
In an era where interpretation of regulations appears to be more subjective than ever, I believe we need a meaningful appeals process when we respectfully December 2013 | 5
STRAIGHTTALK
Clowns to the Left of Me, Jokers to the Right Well, multiply that times 1000 and you get what has happened to the banking industry in that same period of time because that other job I had, was banking. Case in point of the insanity we face every day. The Consumer Financial Protection Bureau (CFPB)—an oxymoron if there ever was one—used to tell us, “call if you have any suggestions or questions.” They even gave us their business cards and direct numbers. Well, based upon that welcome, we did call and often. What we found after a few circular conversations was that the CFPB is made up of a lot of lawyers and academics—not bankers, exbankers, ex-business people or even people with relevant business degrees, just plain ole prosecutorial lawyers and professors (with a few career bureaucrats thrown in for good measure).
You ole rock and rollers remember the Stealers Wheel song from the Reservoir Dogs movie “Stuck in the Middle with you”. Refrain: Clowns to the left of me and Jokers to the right here I am, stuck in the middle with you. Well I got to tell you, that’s the way I feel today. I just finished a meeting with an FDIC representative and I was discussing with them all the silly stuff their examiners were doing inside our banks when I found myself saying, “But, don’t feel bad because the OCC is actually making more illogical decisions than you guys!” I couldn’t believe it! I was actually trying to make the guy feel better, by comparing him to another agency causing problems for our banks. Then I realized it was the banks that were “stuck in the middle” of these two inept organizations. So, “clowns” to the left and “jokers” to the right, while maybe a little harsh seemed appropriate at this moment. I know what you’re thinking—here he goes again on one of his rants about the insidious nature of the regulatory regime we are under. Well… you’re right. I started my first business at 23. It was a truck leasing company that leased trucks to companies that needed 18 wheelers but couldn’t afford to buy them. It took me all of about a week to read the regulations and accounting principles that would apply (and that’s while I had a full time job elsewhere). I dare say today (40 years later) it would take months and thousands of dollars to “get ready” with all the approvals and permits you now need.
The regulations they were writing worked well in theory or in a classroom, as most of Washington’s stuff does, but on the street it’s as useless as whiskey at an AA meeting. (Case in point: QM rules). But, when we called they would discuss the issue with us and tell us that we were wrong because they drafted it and they did not “intend” for it to have the result that we feared. Of course, we explained that they would not be the one to apply it to our members and that the other regulators or even a court might see it different, but they were not swayed. As ridiculous as their response was, we still believed that we could at least get their opinion and share that with the other regulators. Then, one day, the CFPB wouldn’t take our phone calls or emails and we were stunned. And, no explanation or feigned excuse was given. Had we done something wrong? Had we stepped on someone’s toes? No, we were later told that the CFPB staff (remember the prosecutorial lawyers) felt as if, by listening to bankers concerns, they would be perceived as pandering to our interests. So, in typical bureaucratic form, they just quit talking to bankers—the one group of people that can tell them whether something will work or not inside their system or any system short of a Socialist one.
Let me know what you think: bcassady@kybanks.com December 2013 | 6
STRAIGHT TALK Simple, problem solved right? Wrong, now they are putting the trash out on the street without any thought as to whether it can be collected and no worry about the unintended consequences and problems that will emerge when it starts to sour. And, when the consequences are voiced—banks indicating that they may not be making mortgages any longer or vendors indicating that they are not ready with software, the CFPB replied “well, we will take into consideration if you’re trying hard to comply.” That reminds me of my sons little league where everyone got a trophy win, lose or draw, and after getting beat into submission and the 10-run rule went into effect some parent would come along and tell their child “Wow, you played a great game!” You see the parent thought the child was stupid enough to believe them. Even kids no when they just got their head handed to them.
As I told one of our Congressmen, you just have to believe that at some point the insanity of all this will stop. It has to…otherwise there won’t be a banking industry left and then where will this country be? Where will charities go for their support? Where will small communities go for their growth? I guess they could all call the CFPB and hope someone answers.
MY TWO CENTS PLUS SOME
Safe Deposit Boxes The federal regulators have also offered some consumer guidance on safe deposit boxes. For instance, the FDIC issued Q&A’s in 1997 at http:// www.fdic.gov/consumers/consumer/news/ cnspr97/sfdpstbx.html, and in 2005 http://www. fdic.gov/consumers/consumer/news/cnfall09/ five_things.html. And, the OCC has issued Q&A’s at http://www.helpwithmybank.gov/get-answers/ other-topics/safe-deposit-box/other-topics-safedeposit-box-quesindx.html .
Things to consider when establishing procedures and policies on safe deposit boxes: Kentucky laws on safe deposit boxes are sparse. That means that your bank’s liabilities, responsibilities, and rights, with regard to safe deposit boxes, are pretty much controlled by contract and by bank policies and procedures. Thus, you must make yourself aware of the few laws that do apply and draft your contract and bank policies and procedures with the purpose of safeguarding the bank and clearly identifying the customer’s rights and responsibilities. The state laws applicable to safe deposit boxes are: KRS 393.060 and 20 KAR 1:060, which provide that unclaimed items left in safe deposit boxes are escheatable three years after expiration of lease; and 286.2-105 which sets forth the procedures to follow for entering a safe deposit box, after death of the customer, for the sole purpose of determining if a will exists. That is it. There are as few federal laws or guidelines regulating safe deposit boxes. 12 CFR 328 would prohibit the use of the official “member FDIC” language in advertisements if the only product being advertised is a non-deposit product. (Review carefully against each ad!) Further, 31 CFR 500.408 restrict’s access to safe deposit box contents by designated nationals. December 2013 | 8
1. Internal policies and procedures must be consistent with contracts signed by the customer. 2. Internal policies and procedures and contract terms must be followed. 3. Your bank’s policies and procedures determine whether safety deposit boxes will be made available to individuals, multiple parties, or non-individual entities. If you allow for various categories of users, make sure that the contract clearly explains everyone’s rights to access and remove items. Also, if you are willing to lease a box to an entity, make sure that you have the proper corporate (or other) authorization naming the individual(s) who will have access. 4. If your bank allows minors to lease or have access to safe deposit boxes, consider implementing a parental waiver. 5. If multiple parties are allowed to lease a safe deposit box together, consider a procedure which would require all parties to sign both the lease and the signature card in each other’s presence. 6. Make sure that drilling procedures cover both situations of non-payment and lost key. The customer should be present when the
drilling is at the customer’s request because of a lost key. At least two employees should be present when a box is drilled and inventoried for non-payment or if a customer terminates the lease through the mail, returns the key, and asks for contents to be sent to him/ her.
Managed I.T. Services Networking Solutions Virtualization & Storage Network Security
7. NEVER allow a customer to use or hold the bank key to a safe deposit box. 8. If your bank uses a pre-prepared contract make sure that every provision is reviewed and understood for compliance and consistency with your policies and procedures. Modify if necessary, as failure to comply with your bank’s implemented policies and procedures may result in a citable offense by your examiner. 9. Make sure that you consider all necessary fees—safe deposit boxes are not managed without risk and expense. For instance, you may want a key deposit or a lost key fee; a non customer fee; excessive access fee; late charge; sufficient rental fee; and drilling fees for lost key and/or non-payment. 10. Finally, give the customer sufficient information in the lease agreement so that he/she has reasonable expectations regarding such things as security, access, privacy when accessing contents, protection of contents from water, fire, and other hazards, etc.
That is it in a nutshell. The very fact that there are very few laws which apply to safe deposit boxes makes them both very easy and very complicated to manage!
DOES YOUR TECHNOLOGY PARTNER HAVE I.T. COVERED? LEXINGTON | LOUISVILLE | LITTLE ROCK | CINCINNATI | CHATTANOOGA | ST. LOUIS
MAKE SURE THEY’RE SOC 2 COMPLIANT.
Most leaders in banking understand ‘Service Organizational Controls (SOC) 1’ as it relates to financial reporting. What about SOC 2 specifically designed for I.T. managed services, and many other technology and cloud-computing based businesses? When considering I.T. service providers, ask about their SOC 2 status. Some boast SOC compliance but merely outsource their responsibility to a 3rd party data center. NetGain Technologies holds itself to a higher standard. Over 40 banks and financial institutions currently call Kentucky-based NetGain Technologies to solve their I.T. service and solution challenges. Ask to see our SOC 2 certificate. Email bankonit@netgainit.com for more information.
Debra Stamper dstamper@kybanks.com
Raise the I.Q. of your I.T. To learn more about solutions for your financial organization, go to www.netgainit.com or call toll-free 1-866-367-7243.
December 2013 | 9 NG-13114 KBAHalfPg5.indd 1
9/6/13 7:18 PM
In honor of Ciitizens Union Bank’s 125th Anniversary, the bank set forth a “Random Acts of Kindness” campaign where employees chose 15 community organizations to donate $1,000, to as well as volunteer their time at the organizations on Columbus Day. Employees were also given a pad of 25 coupons that they were to use for random acts of kindness throughout the communities in which they live. These coupons simply said “This random act of kindess is in honor of Citizens Union Bank’s 125th Anniversary”. Together, it amounted to more than 4,500 random acts of kindess in the communities Citizens Union Bank serves. As part of the One on One campaign with Kentucky Bankers Association we, in turn, donated an additional $100 to each of their organizations. This truly is a testament to a bank going One on One in their community...way to go CUB!
Big Brothers Big Sisters Serenity House
Shelbyville Backpack Program
Simpsonville Parks & Rec December 2013 | 10
Good Samaritan Society
Hardin County Feeding America
Bagdad Ruritan Club Center for Women & Families God’s Kitchen
LaRue County Parks Love Thy Neighbor
Pleasant Grove Elementary Maryhurst December 2013 | 11
MAKING NEWS Hancock Bank and Trust is proud to welcome our Community Hero campaign. This is our opportunity to celebrate the individuals and organizations in our community who dedicate their lives to helping others. Heroes come from all walks of life - the neighbor running nonprofit bake sales, a volunteer who serves the elderly at a local retirment home, a teacher building a school for the underserved, or the community organizer bringing people together.
It was our pleasure to get to meet and chat with Ms. Marilyn and discuss her love for the community and serving their needs.
The Christian Food Bank of Hopkins County was the recipient of the Hancock Bank November Community Hero. We chose Christian Food Bank for their outstanding service in our community. They serve the underserved families of Hopkins County. Marilyn Fulkerson has been the food bank’s director for over 23 years. She has seen a jump in the need for Hopkins County since the recent reduction of the food stamp program. November through January is usually a busy season, but with the current economic downturn, the food bank is serving more individuals. They have a current need for donations of food items. They are very grateful and appreciative for a full staff of volunteers.
Based upon feedback received from our 2013 Class of Emerging Leaders, we are going to change the term of the 2014 Class of Emerging Leaders so that it begins at the 2014 Spring Conference. Therefore, we are changing the due date for nominations to December 31, 2013. We have received several applications already, but encourage you to look at your staff and find your next generation of leaders. If you have any questions about the program, please let me know. Debra Stamper - dstamper@kybanks.com December 2013 | 12
How Has the IT Security Challenge Changed Over the Past Decade? By: Dave Montgomery I have been involved in the IT security industry for 13 years now and in the technology field for 29 years. It was a pretty easy choice when we (Systems Design Group, Inc.) first decided to pursue IT security as a focused field considering our concentration on Y2K audits. A large part of those audits involved creating a comprehensive inventory of what software the client was running and the associated version levels of that software. In a sense, whether it is Y2K or IT security, the key to your efforts is to properly size how much code you’re trying to defend, who is accessing that code, and why. Another way of looking at this challenge is to compare it to a retailer trying to stop shop lifting, but at the same time not knowing what inventory he had stocked on his selves. This leads us to Principle #1. Principle #1: You can’t protect any of your unknown assets. This statement is as true today as it was a decade ago, and it will still be true a decade from now. Back in the old days, most of our primary defense tools December 2013 | 14
either blocked access requests (firewalls), told you that you were probably being hacked (intrusion detection sensors/IDS) but didn’t stop it, just alerted you to the fact that something bad was probably happening to you, or the tools were completely blind to any attacks that you didn’t have a known signature for (IDS or anti-virus software). Today’s tools provide all of the old functionality but can also be more proactive in the sense that they can block the bad guy when he is trying to get in (intrusion prevention sensor/IPS). The modern tools also don’t need an exact signature to block a suspected bad packet: if it smells like malware, tastes like, etc., you get the picture. However, this more aggressive posture doesn’t come without additional risks. Today’s bad guys didn’t just wake up yesterday, so they now design their payloads to look like the good guys packets, thereby making it harder to know whether what's entering your network is good or bad. This leads us to Principle #2. Principle #2: False positives are still the bitter enemy of any IT security professional. These folks never have enough time to follow up on what might be wrong, so to fill their plate with problems that aren’t problems means nothing good is about to happen in your environment. Old IDS systems yelling wolf when there wasn’t a wolf, versus new IPS systems blocking a legitimate network connection because it looks like malware is a real problem. If these types of scenarios are turning up frequently in your environment, you can rest assured nothing good is happening today or tomorrow. Another area where the past meets the future is in the area of worker productivity and IT security controls. If we go back to our retailer/shoplifting example, one way that our retailer friend can stop the risk of shoplifting is to lock his doors to all customers, employees, and vendors. Obviously this strategy has a problem; it would force our friendly retailer to go out of business due to a lack of business. The IT security professional is faced with the same dilemma; they can eliminate the risk of the bad guy accessing their network without approval by simply unplugging their network from the Internet; or they can stop the risk of an employee losing valuable data by blocking and denying them access to their system, etc. Unfortunately, the future of the company that takes these measures is on the same success path as our friendly retailer who locks his doors all day, every day, and that path is out of business. This leads us to tried and true Principle #3.
Principle #3: IT security controls and increasing worker productivity will always be in conflict. In fact, if they aren’t, you’re probably not in business. Add to this dilemma the other reality that it is getting harder to predict who will need to access what information when, where, and by whom (mobile and multiple devices by user, vendor/supply line chain, business-to-business, etc.), well you get the picture. The only way to semi get your arms around this equation is to have vigilant folks who are constantly monitoring IT security controls to ensure that they meet our current business needs from both a competitive market and risk mitigation perspective. The last area of comparison between then and now, especially as it relates to predicting the future, is in the area of trend. What have we seen over the years in regard to the risk landscape? The answer is frightening, no matter the time of day or the day of the week. The bad guys are constantly perfecting their trade, looking for new, more efficient ways of exploiting your system control’s to access your most confidential data. They have turned the art of hacking into a multi-billion dollar trade that is point and click, available to the masses, with masses defined as anyone that can breathe, currently living on the planet, and has access to the Internet. When you said ‘hacker’ ten years ago, you were talking about a technical elite professional, today you’re talking about someone who can read, has low personal scruples, and a fast Internet connection. This leads us to Principle #4.
It all adds up …to results. At Clark Schaefer Hackett, we’ve provided traditional auditing and tax assistance to financial institutions for over 25 years and risk management
Principle #4: The trend is not our friend in IT security. Going back to our old retail example, what most retailers ultimately want to do is force the shoplifter to shop at another store, not theirs. In a sense that’s what our goal should be: to encourage our potential hacker to hack another website, not ours, because we’re too much trouble and we offer no low hanging fruit.
services for 15 years. More than
I hope you found my past and future comparisons helpful in understanding what I believe SDGblue’s ultimate goal and responsibility needs to be now and in the future: to help our clients have peace in a scary world, so they can focus on what they do best. I also hope you can see that we have a full time job ahead of us and nothing less than our best efforts will do.
savings institutions and delivered
half of our clients have been with us over a decade. Our solutions are focused toward the needs and budgets of community-based banks and by one of the strongest specialized financial institutions industry teams in the area.
Certified Public Accountants & Business Consultants
www.cshco.com
PRODUCTS AND SERVICES
CSI’s WatchDOG Social Compliance Endorsed by Kentucky Bankers Association - Comprehensive solution simplifies compliance management, social media communication The Kentucky Bankers Association (KBA) has endorsed the WatchDOG® Social Compliance solution from Computer Services, Inc. (CSI) (OTCQX: CSVI), a provider of end-to-end technology solutions that empower financial institutions to remain competitive, compliant and profitable. WatchDOG Social Compliance provides financial institutions with advanced compliance capabilities and protection for participating in social media across multiple online platforms. CSI’s WatchDOG Social Compliance solution assists financial institutions new to social media, as well as those that are more seasoned, in abiding by the processes outlined within their risk assessment strategy in order to minimize impact should an issue arise. By implementing the solution, financial institutions also simplify managing social media compliance with regulatory requirements, allowing them to more actively leverage social media without the risk of violating the growing list of compliance regulations. “While increased social media adoption among today’s consumers provides financial institutions with new opportunities to communicate with their customers, many banks are hesitant to adopt these new channels based on the potential risk of compliance violations,” said Selina Parrish, KBA’s director of membership. “WatchDOG Social Compliance helps institutions better manage regulatory guidelines around social media, allowing them to safely leverage all available channels without issue.” To help better manage bank social media participation, WatchDOG Social Compliance offers users a suite of tools and services to further solidify full regulatory compliance, including: • Archiving all Facebook, Twitter, YouTube and LinkedIn posts for required timeframes; • Creating an approval process to ensure posts meet regulatory requirements; • Utilizing targeted search capabilities; • Performing reputation and sentiment analysis; and • Evaluating the institution’s competitive landscape. Based on additional guidance from the Consumer Financial Protection Bureau (CFPB) surrounding unfair, deceptive or abusive acts or practices (UDAAP), WatchDOG Social Compliance also provides financial institutions with a comprehensive method for managing customer complaints and gives December 2013 | 16
federal regulators the necessary information to complete social compliance audits. “Community banks consistently seek out solutions catered to simplifying the various management processes required to successfully operate their institutions,” Parrish said. “CSI’s robust suite of solutions and services not only streamline these traditionally complicated processes for today’s community banks, but also provide them robust functionality to remain competitive with the industry’s largest institutions.” Since 1998, CSI Regulatory Compliance has provided organizations with software solutions and consulting services focused on watch list screening, risk management and fraud prevention. As a leader in the regulatory compliance space, CSI provides solutions and services that ensure customer success by leveraging the latest technology advancements to consistently deliver superior results. “With compliance requirements continuing to change on a regular basis, many financial institutions struggle to implement new guidelines on top of the existing regulations required of their institution,” said Paul Koziarz, CSI chief development officer and interim president and general manager of the division. “As a result of social media’s growing popularity among consumers, we designed WatchDOG Social Compliance to address the concerns of our banking customers in order to allow them to capitalize on these valuable communication outlets without risk of compliance violations.” Financial institutions interested in learning more about social media compliance may download CSI’s free white paper on how to successfully participate in social media outlets: www.compliance.csiweb.com/socialmediacompliance. About Computer Services, Inc. Computer Services, Inc. (CSI) delivers core processing, managed services, mobile and Internet solutions, payments processing, print and electronic distribution, and regulatory compliance solutions to financial institutions and corporate customers across the nation. Exceptional service, dynamic solutions and superior results are the foundation of CSI’s reputation and have resulted in the company’s inclusion in such top industry-wide rankings as the FinTech 100, Talkin’ Cloud 100 and MSPmentor Top 501 Global Managed Service Providers List. CSI’s stock is traded on OTCQX under the symbol CSVI. For more information about CSI, visit www.csiweb.com. About Kentucky Bankers Association The Kentucky Bankers Association, a nonprofit trade association, has been providing legislative, legal, compliance and educational services to its member institutions since 1891. KBA’s directors and staff work together with its members to make the financial services industry a more effective and successful place to work. The strength of the KBA is bankers unifying as an industry to speak as one voice. The purpose of the Kentucky Bankers Association is to provide effective advocacy for the financial services industry both in Kentucky and on a national level; to serve as a reliable and responsive source of information and education about areas of interest to the industry; and to provide a catalyst and forum for collective industry action. For more information, visit www.kybanks.com.
December 2013 | 17
KBPAC Bank Spotlight With the help of one of our Emerging Leaders, Nicole Sullivan, First Kentucky Bank supported KBPAC by holding a Jeans Day at their branches...
Do you have your Jeans Day scheduled?
December 2013 | 18
Taylor County Bank News Earlier this year, Taylor County Bank sponsored a community project where they collected various items to be sent to our service men and women. Some of the items that were donated were baby wipes, fruit cups, chapstick, peanuts, magazines, and lotion, among many other items. Employees, customers, community businesses, and churches all participated in the project. They collected enough items to send to more than 200 troops from this region of Kentucky. There are 32 individuals serving overseas specifically from Taylor County. The boxes were sent to troops in Afghanistan, Africa, and Jordan. Taylor County Bank employees donated their time after work to assemble the boxes and get them ready for shipping. When all was said and done, they had over 150 boxes filled to capacity. What a great way to say “Thank You” for protecting our freedom! During this holiday season, and all year long, let’s remember those who are serving overseas and away from their own families while we can stay home with ours. Thank you Taylor County Bank for sponsoring such an inspiring community project!
• • • • •
• • • • •
December 2013 | 19
UPCOMING EDUCATION EVENTS & SEMINARS Credit Administration Seminar: Seven Effective Habits January 29 Bowling Green January 30 Lexington Intro to Consumer Lending & Key Ratio Analysis Seminar / Two-day Program February 27 & 28 Bowling Green March 13 & 14 Lexington Loan Documentation Workshop/ Two-day Program April 1 & 2 Bowling Green April 3 & 4 Lexington
r u o Y Mark rs! a d n e l Ca ____
______
_____ ______
____
______
_____ ______
Cash Management Seminar April 9 Louisville Lending and Compliance School April 21-25 Louisville Trust Based Selling May 7 Bowling Green May 8 Lexington
The ProducTs and services Your Bank deserves TaxaBle MuniciPal Bonds • us GovernMenTs/aGencies • kenTuckY school Bonds
Bill Barker Toll Free: 800.292.4563 bbarker@rsanet.com
One Riverfront Plaza • 401 W Main St, Suite 2110 • Louisville, KY 40202
Louisville ~ Lexington ~ Cincinnati -kBa a ssociaTe M eMBer Member FINRA and SIPC • Investment Products Not FDIC Insured • No Bank Guarantee • May lose value.
December 2013 | 20
2014 KBA Washington Trip Washington, D.C. February 23-26
E V A S
! E T A D E TH
THIS IS AN ADVERTISEMENT.
When it comes to banking and finance law, trust is equity. M&P is a leading banking and finance law firm representing financial institutions, businesses and individual clients throughout Kentucky. Our commitment to personal service and dedication to resolve matters quickly has earned us the trust of our clients, peers and the banking community.
MorganandPottinger.com
EXPERIENCE MATTERS. Delivering the bottom line to Kentucky lenders and financial institutions for more than 30 years.
Banking & Finance
Equine
Commercial Litigation
Real Estate
LEXINGTON
LOUISVILLE
Are your communications scrambled or coming through loud and clear? Enhance communication with CSI Secure Connect. When it comes to productivity, you have to cut through the noise of everyday distraction. CSI Secure Connect gives you access to a centralized portal solution that streamlines communication for employees, board members, loan committees and other designated groups. Through uncompromising technology and unmatched customer service, we’re enhancing the quality of your communication channels.
Open new lines of communication for
BOARDS / EMPLOYEES / LOAN COMMITTEES csiweb.com/TheAnswer
Core Bank Processing Payments Processing
• •
Managed Services
•
Electronic & Print Distribution
Mobile & Internet Solutions •
Regulatory Compliance
800.545.4274
csiweb.com
ON THE MOVE Farmers National Bank recently promoted Carla Higginbotham to Assistant Vice President, Human Resources Generalist
Central Bank Chairman, President and CEO, Luther Deaton, Jr., has announced the promotion of Lesley Keller to Marketing Officer - Manager.
Central Bank Chairman, President and CEO, Luther Deaton, Jr., has announced the promotion of Ashley Norvell to Retail Banking Officer – Tates Creek
Jessie Dillon, Trust Administrator at WealthSouth, was recently awarded the Certified IRA Services Professional designation from the Institute or Certified Bankers, a subsidary of the American Bankers Association in Washington D.C.
Helen M. Powell has been promoted to Branch Operations Supervisor at Community Trust Bank in Danville.
Kim Jewell recently joined The Peoples Bank in Glasgow, KY, as Mortgage Lender and Compliance Officer. Kim brings 20 years of community banking experience, previously working at Trans Financial Bank and South Central Bank in Glasgow.
Thomas Hager, Executive Vice President of Farmers National Bank in Danville, Kentucky, recently graduated with honors from the prestigious Graduate School of Banking at the University of Wisconsin-Madison.
First Security Bank recently announced the appointment of Freddy Carr as Executive Vice President and Chief Retail Officer. Freddy has 25 years of banking experience in various leadership roles.
December 2013 | 23
Happy Holidays
From all of us at the
Kentucky Bankers Association