Private Banking by any name at a community or larger regional bank often means offering personalized services to high income/high net worth individuals and their related business entities.  Unlike Private Banking at very large financial institutions, Private Banking at community banks usually does not involve asset management or specialized investment products or international banking risk.

Customers will often receive personalized services for existing bank deposit and credit products; for example, the private banker will go to the customer’s home or office to pick up and drop off paperwork and keep them aware of new product offerings.

The Private Banker will often serve as the gatekeeper for the relationship with the bank’s various product areas, smoothing the way for the customer with personalized services. In some cases, there may be specialized deposit or loan products for private banking customers. Private Banking customers do not necessarily receive lower borrowing rates or higher deposit rates.

Private Banking customers generally must meet income and/or investable asset thresholds in order to qualify for personalized service.

While there is nothing inherently wrong with Private Banking, it does present risk to the bank, such as fair lending risk, BSA/AML risk due to the larger balances and closer banker relationships that can lead to “favors”, or unequal treatment of customers of equivalent finances outside of the Private Bank.

Private Banking takes advance planning and monitoring to manage regulatory risk. This webinar will review those risks and present ways to manage them.

Who should attend:
Senior management and product development staff, Compliance and BSA Officers, Auditors, Private Banking staff – any staff members who need knowledge of Private Banking and the accompanying risks.