Audit readiness isn’t about scrambling before the audit—it’s about building predictable, repeatable habits that align security, compliance, and business goals. Here’s how to build a framework that works year-round.

Startup and community banks face the same regulatory expectations as large financial institutions without the same resources. Many lean on hosted platforms, small tech teams, and outsourced vendors. But with rising cybersecurity risks, even minor disruptions can have outsized financial and reputational impacts. This post explores how smaller banks can right-size security, avoid common vendor pitfalls, and meet regulator expectations without overspending.

Artificial Intelligence in banking isn’t new, but its speed of deployment and regulatory scrutiny are unprecedented. Banks face a “bandwagon effect,” rushing AI initiatives while balancing risk management, governance, and consumer expectations. Key challenges like explainability and hallucinations require embedding AI into existing model risk frameworks, with strong controls, transparency, and incident readiness to safeguard compliance and trust.

Generative AI governance is complex, with multiple frameworks available to address security, risk, ethics, and compliance. Compare OWASP LLM Top 10, NIST AI RMF & 600-1, ISO/IEC 42001:2023, and CipherNorth’s Foundational Framework to find the right approach for your organization’s maturity and goals.