How important are data backup services for your banking institution‘s data auditing processes? Is it worth the investment? Can this kind of service help your organization remain in compliance with Basel III? The truth is that the laws and regulations involving data compliance and data regulations change too often, and trying to keep up with the changes can be overwhelming for most senior officers. Let’s briefly talk about what’s going on in the banking industry and the data auditing processes involved.
Basel III Compliance and Data Auditing- What’s It All About?
In short, Basel III was designed with the idea of higher liquidity, leverage, and capital standards. It also was designed to strengthen risk management, supervision and data regulation of the banking industry. This means that bank institutions have to hold a higher quality of capital and more of the capital.
How Can Remote Server Backup Services Help Your Data Auditing To Be Optimal?
Because of all the new data regulations and data compliance methods set forth, a lot of banking institutions have been turned upside down. The data regulations and data compliance laws stipulate that anyone caught altering, changing, or removing required documents stands at the risk of criminal prosecution.
This can be avoided by using the data backup services company. Although your institution could set up a separate IT department with a host of servers and computer systems, the cost and time associated with this idea are both tremendous. In addition, you’ll have to factor in a whole new set of employees and down time for installing the new system, updates and glitches. This can still end up costing you in lost files and improper data auditing and data compliance.
By using third party data backup services to perform proper data auditing, you can save a lot of time and money, while still remaining data compliant with all data regulations and rules. Many banking institutions desperately need data backup services. This is because they are required to comply with government data regulations and have to disclose certain documents on a regular basis.
That’s why it is important to choose a data backup services provider that not only can assist your organization, but that also has an understanding of the data compliance laws. With certain remote server backup services, you have the opportunity to access your organization’s files any time of the day. The backups can be timed and chosen at a convenient time. Most organizations choose a backup point late at night, when no one is in the office.
SOX Data Compliance – Another Hassle?
SOX or Sarbanes-Oxley Act of 2002 also set forth higher standards for all data regulation process of public companies in the United States. Due to the scandals associated with Adelphia, Tyco International, and Enron, public trust in the securities market has decreased. As a response to the situation, the SOX Act has endeavored to restore public trust in the market and to hold stricter guidelines in place, especially for corporate accounting and financial statements.
What Is The Cost Involved In Staying Compliant With The Data Regulations?
The cost for data backup services will vary. There are six key points to keep in mind when you’re thinking about cost:
1. The complete amount of data that is going to be backed up.
2. How many machines will be covered by the backup service?
3. The number of versions of each file that is going to be backed up.
4. Archiving period options and data retention options.
5. Unmanaged backups vs. managed backups.
6. The level of features and services available.
Some providers have a limit on the number of versions of a particular file that they can back up on the system. Others provide you with an unlimited number of versions and they also can provide you with the capability to back up files that are currently open or being used as well, but there may be an extra charge.
As you can see, because of the compliance laws, your institution cannot afford to lose important data. Using a backup data service is not just a convenience, but it is also a must-have. You cannot afford to take this topic lightly, as non-compliance is considered a criminal act. Get your data backed up today and have peace of mind.