To the Chief Operations Officers of All Depository Institutions
in the Second Federal Reserve District:
In connection with future enhancements to the Federal Reserve Banks’ Computer Interface access solution, changes have been made to the Federal Reserve Banks’ Operating Circular 5, Electronic Access.
Additional revisions have been made to clarify the responsibilities of depository institutions with respect to their use of service providers. Other changes relate to liability limitations, foreign access and confidentiality responsibilities.
While certain minor and/or technical revisions have also been made to OC 5 and the Federal Reserve Banks’ Certification Authority Certification Practice Statement (CPS), which is incorporated in OC 5 by reference, the main substantive changes are summarized below.
Operating Circular 5, Electronic Access
- There is now a definition of “service provider” as well as a new section, 1.6, specifically discussing the relationship between an Institution and its service provider.
- There is a new paragraph at the end of section 4.4 that addresses foreign access to Federal Reserve Bank financial services.
- In conformance with industry trends and recognizing that other operating circulars contain liability provisions applicable to specific financial services, an additional limit on Federal Reserve Bank liability has been added in section 5.2.
- The confidentiality section, 5.4, has also been revised to provide more detail about the Federal Reserve Banks’ expectation regarding the handling of their confidential information. The revised language also makes clear that all security-related information is confidential and subject to the requirements of 5.4.
The amendments to OC 5 and the CPS are effective on March 15 and your continued use of any electronic connection with the Federal Reserve Banks will constitute agreement to the new terms.
Please refer to the official versions of these amended documents at Reference Guides and Operating Circulars of the Federal Reserve Financial Services website.