TBA Services Company (TBASCO), oversees the relationships with companies whose products and services are endorsed by the TBA. The process for vetting prospective products and services for endorsement is extensive and generally spans anywhere from 3-6 months. Most often it begins with an RFP invitation to providers who offer the service or product being considered. TBASCO staff, the TBA CFO and the TBA General Counsel, when appropriate, handle the due diligence which includes review of corporate structure and stability; financials; discussions with bank users; contractual terms offered to TBA member banks; implementation and disengagement conditions; customer service provided to banks; and when applicable, software, security, regulatory certifications and examinations. Usually two to four providers are selected as finalists and are invited to make presentations to the TBASCO Board of Directors, which has endorsement decision authority.
Criteria for endorsement includes:
- Product/service must satisfy an identifiable need for TBA members.
- Provider of product/service must prove success based upon stable ownership and management, current and fiscal year-end financials, corporate structure and history, and client references.
- Competition must be identified and compared.
- Expectations and projections must be reviewed and realistic.
- Legal and regulatory issues must be identified and reviewed.
- Satisfaction of applicable regulatory requirements and certifications relating to the services must be provided (SSAE16, FFIEC, ITIL, regulatory examinations, etc.).
- TBA/TBASCO must be guaranteed a revenue stream.
- Disengagement implications must be considered.
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