2024 is the year to re-evaluate cash management practices
With a booming ATM market, an increase in ATM theft and crimes, and a surge in cash in circulation, now is the time to re-evaluate your financial institution’s current cash management practices. If your FI has been considering outsourcing cash management, 2024 is the year to get it done.
Key questions to ask:
- Do you have concerns about holding excess liability at the branch level for other branches, ATMs, or retail customers?
- Do you lack data needed to make more informed decisions on branch and ATM cash/coin needs?
- Do you have staff dedicated to preparing, processing and possibly even loading ATM machines?
Chances are if your FI is not currently outsourcing cash management, then you answered yes to at least one of these questions. These are many of the common challenges that FIs face when handling cash management for other branches and/or ATMs. They also are clear indicators that it’s time to make a move to reduce risk and increases efficiency.
Outsourcing cash management provides several almost instantaneous benefits. With the cash held securely offsite, there is an immediate reduction in risk exposure both to the financial institution and its employees. Suddenly your FI has access to robust, real-time reporting features that provide cash utilization trends and can build a historical overview that allows for better, more-informed decisions.
Customer service also receives a boost when FIs are able to reduce or redirect labor that was once dedicated to cash management tasks. And, when the unexpected happens, your FI has more options if your inventory is held securely offsite, adding a new layer to your current business continuity plan.
Take the next step
When it comes to cash management, outsourcing to your current armored carrier is the easiest way to reduce risk and gain efficiency. The best next step is simply to have a conversation with your FI’s armored carrier. To jumpstart the conversation, here are some good questions to ask:
- What experience does the staff have in cash vault management services?
- How is the company’s financial stability?
- How has the company adopted and implemented industry best practices?
- Does the company carry cash management insurance?
- How often are audits performed? Are they strictly internal or is a third-party auditor used?
- Does the company use a reliable cash management system?
Remember, it’s important to not only ask the right questions, but to get the right answers when you are deciding to outsource. For Rochester’s answers to these six questions, contact email@example.com