Although we have always reviewed information security as part of the supervisory process, the new law requires us to set consistent expectations for all institutions. Attaining the appropriate balance in assessing technology operations within the supervisory process is not a simple matter, however.
For example, over the last year, the number of banks supervised by the Federal Reserve that are offering banking services to their customers over the Internet has more than doubled. As supervisors, we recognize that this kind of sudden change can lead to risks.