Internet Banking News
August 8, 1999
1) Good news - Last week I reported that the US Government was wanting to
monitor private Internet site for hackers. This week, the government is backing off
private monitoring. With criticism rolling in from all quarters, U.S. government officials
backed away from a controversial plan to monitor private-sector networks for hacking
activity. We will see how long this last, but for now all is well.
2) INTERNET SECURITY - The past couple of weeks, I covered three issues that should be
included in your information system's security policy. Prevention and detention was
discussed the past two weeks. This week I am covering the final issue,
"response" which is:
Another key area involves preparing a response program to handle suspected intrusions and
system misuse once they are detected. Institutions should have an effective incident
response program outlined in a security policy that prioritizes incidents, discusses
appropriate responses to incidents, and establishes reporting requirements.
3) INTERNET COMPLIANCE - Consumer Leasing Act (Regulation M) - OSC §213.2(b)-1 provides
examples of advertisements that clarify the definition of an advertisement under
Regulation M. The term advertisement includes messages inviting, offering, or otherwise
generally announcing to prospective customers the availability of consumer leases, whether
in visual, oral, print, or electronic media. Included in the examples are on-line
messages, such as those on the Internet. Therefore, such messages are subject to the
general advertising requirements under §213.7.
IN CONCLUSION - This week I received another report that the bank examiners are getting
more enthusiastic auditing the bank's Internet activities.