Protecting Our Customers and Their Data
Bank Security Act
The Bank Secrecy Act (BSA), also known as the Anti-Money Laundering Law (AML), passed into law in 1970. Designed combat money laundering, the BSA established requirements for financial institutions that protect their clients, their communities and the country. Specifically, the law established requirements for recordkeeping and reporting suspicious activity that could indicate money laundering and other crimes.
Lake City Bank has integrated BSA controls into our processes and structure. Specifically, Lake City Bank maintains a BSA/AML compliance program including:
- Designating a BSA officer who is responsible for managing BSA/AML compliance
- Designing, implementing and maintaining internal controls to ensure ongoing compliance with the BSA, and due diligence of our customer base to identify beneficial ownership
- Conducting independent BSA/AML compliance testing
- Implementing yearly training for all bank employees based on their specific job responsibilities
Lake City Bank’s board of directors reviews the bank’s BSA/AML compliance program annually. For approval, the program must be commensurate with its BSA/AML Risk Assessment that is based on the bank’s complexity. Additionally, the program must identify risk within banking operations, and effective risk-based controls. Finally, the bank retains an independent external audit firm to review adherence to the bank’s policies, procedures and processes for BSA/AML compliance.
Customer and Product Responsibility
Our mission and core values reflect the commitment we have to our customers. Consistent with that commitment, we believe that the products and services we offer must anticipate and exceed our customers’ needs.
Product development starts with the Strategy and Innovation Committee, made up of leaders from all over the bank. This group evaluates new products and enhancements to existing products for how well they meet current and future needs, risk (for customers and for the bank), cost and resources for implementation. Representatives from the committee present new initiatives and products to the board of directors. After new products are operational, they are monitored and evaluated for efficiency, compliance and risk.
Data Privacy and Information Security
Lake City Bank maintains an enterprise-wide privacy and security governance program not only to comply with regulations for data privacy and protection, but also because we believe it is in the best interest of our customers.
Based on our policy, we collect, retain and use information about consumers and customers only when we believe that gathering the information is useful and allowed by law to conduct business and/or to provide products, services or opportunities to our customers. Also according to policy, we respond promptly to customer requests to correct inaccurate information.
The bank provides online and mobile security awareness and identity theft information in a variety of ways to inform customers about how to protect themselves from hackers, identify potential fraud, and react if their personal information has been compromised. We provide information and links to external sources on our website, via email and through social media.
Our security governance program requires that the bank designate an information security officer who, in turn, maintains an incident response team. The information security officer provides information and training to all employees, contractors, partners and other third parties, and the board of directors. In addition, employees can access information and security policies on the bank’s intranet system.