Bank Operations Risk Financial Reporting Correspondent Bank Accounts Fixed Assets Insurance Other Assets and Liabilities Loan Operations  
  Introduction Bank Operations Risk Matters to Consider Types of Bank Operations Practice  

This section of the course deals with risks associated with certain back office operations and how banks control these risks. 

Bank operations, or back office, include the myriad administrative tasks dedicated to running or supporting a bank in providing financial services to its customers.  Examples of these tasks include:

  • loan and credit card operations;
  • investment operations;
  • deposit operations;
  • accounting and financial reporting;
  • call reporting;
  • accounts payable;
  • reconciliations;
  • new products;
  • insurance and blanket bonds; and
  • human resources. 

Information Technology (IT) and Payment Systems are also generally considered to be part of bank operations, but are covered separately in this course because of their importance.

After you complete this lesson, you should be able to:

  • state the major risks associated with back office operations,
  • list matters to consider in the oversight of back office operations and
  • identify red flags in back office operations.

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