GRBblog

Make Information Security Part of Your Company’s Values

Researchers from Stanford University and a top cybersecurity organization found that approximately 88 percent of all data breaches are caused by an employee mistake.

In an era where digital threats and cyber-attacks have become increasingly sophisticated, fostering a culture of information security within your company is not just a good practice; it’s a business imperative. A robust information security culture goes beyond implementing the latest security technologies. It involves instilling a mindset of vigilance and responsibility among employees at all levels.

Creating a culture of security needs to be embedded in every part of the organization, rather than leaving it to the IT department or other risk or security specialists. It needs to encompass everything from leadership buy in to policies and training:

1. Demonstrate the Commitment of Leadership

The foundation of a strong information security culture starts at the top. Leadership must actively endorse and prioritize information security initiatives. This commitment should be evident in both words and actions, demonstrating to employees that protecting sensitive data is a fundamental aspect of the company’s values.

2. Develop Comprehensive Training Programs

Equip your employees with the knowledge and skills they need to recognize and respond to potential security threats. Develop comprehensive training programs that cover topics such as phishing awareness, secure password management, and data handling procedures. Regularly update these programs to address emerging threats and technologies.

Phishing simulation software can also be an effective way to test your training and awareness programs, helping evaluate how employees respond to attacks in their inboxes and providing insight into additional tools and resources they may need manage threats. 

3. Encourage Learning, Not Punishment

If employees fear retribution, they may be more inclined to hide cybersecurity incidents instead of reporting them. Create an environment where employees feel comfortable reporting security incidents without fear of reprisal. Establish clear communication channels for reporting potential threats, and ensure that incidents are promptly and thoroughly investigated. Encourage a sense of collective responsibility for the organization’s security.

4. Establish Formal Policies

Help your employees know exactly what they should and should not do with formal policies on a range of information security-related topics, including, but not limited to: 

• An acceptable use policy
• A human resources policy
• A data classification policy
• An asset management policy
• An email policy
• A password policy
• An encryption policy
• An incident response reporting policy

5. Conduct Regular Security Audits

Conduct regular security audits to identify vulnerabilities in your systems and processes. This proactive approach helps in addressing potential issues before they can be exploited by bad actors. Regular audits also demonstrate the organization’s commitment to maintaining a secure environment.

6. Recognize and Reward Security Efforts

Acknowledge and reward employees who actively contribute to maintaining a secure environment. This recognition reinforces the importance of information security and motivates others to actively participate in safeguarding the organization.

Digital banking use is increasing and banks need to be prepared to offer a high-tech and high-touch experience.

Statista estimates that by 2025 there will be more than 217 million digital banking users, an increase of 10 percent since 2021. In a discussion with the Rochester Business Journal, Lazeroff discusses the challenges and opportunities that the digital banking environment presents to financial institutions and where GRB has found success.

Lazeroff noted that customers are looking for support in both transactional items, like making a deposit or paying a bill online, and more complex pursuits, like applying for a mortgage.

“I think there’s a pretty high expectation that those things can be done digitally and seamlessly from wherever you are, whenever you want to make those transactions,” Lazeroff said.

The pandemic certainly had an impact in pushing technology adoption in the banking world. One example is GRB’s online application process for home mortgages.

“We have a full process whereby somebody can apply for a mortgage loan and that whole process can be handled digitally and it’s seamless,” Lazeroff said. “It’s been very successful, and we continue to build upon that.”

But she is also quick to point out that there is still a need for personal interactions in banking.

“We very much believe, and we certainly continue to see in our data from our marketplace, that there’s also the need and the interest to marry that seamless digital delivery with a high touch, relationship-oriented approach,” said Lazeroff.

Banking .

Read the whole article >

It’s hard to talk to anyone these days without interest rates coming up as a topic of conversation. From homebuyers to businesses, interest rates have a significant impact on spending and lending.

While the Fed works to strike a balance between tempering inflation and initiating a recession, local real estate developers are looking at different strategies to keep moving forward. In a recent article published by the Rochester Business Journal, GRB Chief Lending Officer Tim Jones discusses the state of commercial real estate development in the region.

The discussion stems from a recent press release from Lawrence Yun, chief economist for the National Association of Realtors (NAR). Yun called for the Fed to cut interest rates as a way to help both the commercial real estate and banking industries.

“Commercial real estate transaction activity has been cut in half in two years,” said Yun in a news release from the NAR referencing national trends. “The condition for real estate deals is difficult. They (owners) simply don’t want to sell at a lower price, so commercial deals are not happening, because sellers don’t want to lower the price, and buyers aren’t jumping in due to higher lending costs.”

Jones has seen similar challenges reflected in the local market. But that doesn’t mean development and lending have come to a standstill. GRB sees opportunity in the market as larger banks, facing additional pressure from regulators, pull back on their lending activities.

“There’s a lot of liquidity pressure on the banks,” Jones said. “Federal regulators and bank examiners want to be sure banks are liquid enough. That forces you, as a larger bank especially, to be more conservative in how much you lend.

Jones also noted that developers are looking at more creative financing options.

“Some developers are looking at putting more equity in their projects to get them off the ground,” Jones said. “Instead of financing 80 percent, maybe they’re only going to finance 60 percent with the bank and they’ll go out and raise more equity.”

While it may currently be hard to see past the interest rates, it is important for real estate developers to stay focused on longer-term goals. Rates are temporary, while good real estate projects remain a viable investment.

Read the whole article >

The Federal Housing Finance Agency (FHFA) has announced new maximum conforming loan limits for 2024.

In Central and Western New York:

• The maximum conforming FHFA loan limit for one-unit properties will be $766,550. This is an increase of $40,350 over the 2023 limits.
• Multi-family property conforming limits also increased. Two-family properties are up to $981,500 and three-unit homes are up to $1,186,350. The new limit for four-unit properties is $1,474,400.

The Housing and Economic Recovery Act (HERA) requires that the baseline conforming loan limit be adjusted each year for Fannie Mae and Freddie Mac. The adjustment reflects changes in the average U.S. home price. The percentage increase in the maximum conforming loan limit follows the Housing Price Index for the prior four quarters.

“The annual FHFA adjustment is an important tool for homebuyers,” said GRB’s SVP, Residential Mortgage Manager Mike Pulver. “The additional boost in limits provides better financing options for loans that would traditionally have fallen into the ‘jumbo’ category.”

For new loan applications or applications already in process, the loan amounts will be subject to 2023 limits as long as the loan closes by Dec. 31. Loans closing on Jan. 1 or after will fall under the 2024 limits.

FHA loan limits are expected to increase as well. We will post updates as they become available.

Contact GRB’s Mortgage Team with any questions.

We’re proud to have GRB President and CEO Philip L. Pecora interviewed in the Rochester Business Journal about the use of technology and how the bank provides a personalized customer experience.

Of particular note, the article points out that in Leadsquared’s Top 10 Digital Banking Trends for 2024, customer experience that is hallmarked by personalization and simple, consistent interaction “is everything.” And a 2023 survey by Statista of more than 75 thousand banking consumers found that good old-fashioned trust was the most valued aspect of banking.

“We truly keep banking simple,” said Pecora. “We are very focused on delivering core banking products that we are very good at delivering – first and foremost personally, but also supported digitally.  Our banking service centers on a personal relationship between our bankers and our valued clients, while the transactional aspect of a product or service is often efficiently facilitated through technology.”

“We use technology to leverage our personal interactions, not replace it,” he added.

“Technology is a must-have in the banking business; however, it is the personal relationships driven through local and autonomous decision-making that differentiates GRB from the larger, less personal financial institutions,” said Pecora.

Read the whole article >

As a bank, GRB is able to work with the Federal Home Loan Bank of New York (FHLBNY) to provide grant assistance to qualified first-time homebuyers. The Homebuyer Dream Program^TM provides grants of up to $20,000 towards the purchase of a home in New York. This is a program that is only available to members of the FHLBNY, mortgage brokers are not able to access grant funds for this program.

The FHLBNY uses an allotment program, providing lenders with a set amount of funding for the year. Funds are distributed to homebuyers on a first come, first serve basis.

The program begins accepting applications for funds on January 8, 2024, several months earlier than in past years.

This means it is critical that prospective Homebuyer Dream applicants begin working with their GRB mortgage originator now in order to be ready to apply when the program opens. GRB has team members able to serve residents throughout Western and Central New York.

Find out if you qualify

For more information, contact our mortgage professionals.

It doesn’t cost anything to be prequalified and it puts you in the best position to be ready to buy.

Homebuyer Dream Program* (HDP) eligibility requirements

• Must be first-time homebuyers**
• Reside in and be purchasing a home in New York state
• Have a household income at or below 80% of area median income
• Complete an accredited homeownership course
• Meet the income and credit requirements for the program
• Have the minimum equity contribution of $1,000 toward purchase of the home
• Remain in the home for five years or repay a portion of the grant funds back to FHLBNY

Important information

• Up to $19,500 in grant funding is available to be applied to down payment and closing costs
• Up to $500 in grant funding is available to offset the cost of the homeownership course

Please note, the information in this post refers to the 2024 HDP. The Federal Home Loan Bank of New York assesses the HDP on an annual basis and the program is subject to change. Please go to our Mortgage Loans page for more information on the HDP and other grant and lending options.

*Homebuyer Dream Program is a trademark of the Federal Home Loan Bank of New York.

**First-time homebuyer as defined by the U.S. Department of Housing and Urban Development (“HUD”), is an individual who meets any of the following criteria:

• An individual who has had no ownership in a principal residence during the 3-year period ending on the date of the purchase of the property. This includes a spouse (if meets the above test, they are considered first-time homebuyers).
• A single parent who has only owned a principal residence with a former spouse while married.
• Individual who is a displaced homemaker and has only owned a principal residence with a spouse.
• An individual who has only owned a principal residence not permanently affixed to a permanent foundation in accordance with applicable regulations.
• An individual who has only owned a property that was not in compliance with state, local or model building codes and could not be brought into compliance for less than the cost of constructing a permanent structure.

Congratulations to Genesee Regional Bank’s (GRB) President and CEO Philip Pecora on being named to the Rochester Business Journal’s (RBJ) Power 30 Banking & Finance 2023 list.

From the RBJ’s Associate Publisher and Editor Ben Jacobs, “The people on this list have helped Rochester’s banking and finance industry navigate COVID-related uncertainty, significant supply chain and labor disruptions, increases in interest and inflation rates, and unpredictable economic conditions. They have kept their clients apprised of new rules and regulations, financing options, investment opportunities and more. They have pushed innovation forward to deal with myriad challenges and have led the way through a period of tremendous uncertainty.”

Leadership through change

Under Pecora’s leadership, GRB has shown steady growth. While Fed rate hikes over the last 18 months have been a significant challenge for the banking industry as a whole, Pecora remains optimistic.

“The Greater Rochester economy was resilient through the pandemic and has shown continued strength through this rising interest rate environment. Our local businesses’ balance sheets are strong, unemployment is low and housing values have stabilized. As a result, there has been a resurgence of community banks in our area who are interested in serving our local businesses and residents. Our recent history of stability as a reinvented, diverse small business town makes our community an attractive place to bank,” said Pecora.

Building on our strengths

According to Pecora, one of the key’s to GRB’s continued growth is the bank’s unique focus on providing products and services for Upstate New York businesses, residents, and homebuyers.

“I’m a Rochester native and I’m proud of how this community continues to evolve. At GRB, we do the same,” said Pecora. “Being privately owned by local entrepreneurs, we at GRB certainly are excited to call Rochester our home and look forward to continuing to grow with our valued clients and greater community.”

This strategy has led GRB through both opportunities and challenges, with the bank appearing on both the Greater Rochester Chamber of Commerce Top 100 list and the Best Companies to Work for in New York list. In 2020, Standard & Poor Global Market Intelligence named GRB one of the “Best-Performing Community Banks for 2020.” Ranking at no. 23, GRB was the only bank in New York state on the national list. GRB was also recognized by the Independent Community Bankers of America (ICBA) as one of the “top-performing community banks of 2023.” Again, GRB was the only New York state bank on the nationwide list.

Read the full article the Power 30 on the RBJ website.

Congratulations, Phil!

October is Fire Prevention Month and this week, October 8-14, is Fire Prevention Week. Since 1922, the National Fire Protection Association (https://www.nfpa.org/) has sponsored the public observance of Fire Prevention Week. In 1925, President Calvin Coolidge proclaimed Fire Prevention Week a national observance, making it the longest-running public health observance in our country. During Fire Prevention Week, children, adults, and teachers learn how to stay safe in case of a fire.

Genesee Regional Bank is not only committed to helping people in our community find the home of their dreams, but also to keep those homes safe so they can continue making memories in them for years to come. We’re fortunate to have some of our own employees serve in the community as volunteer firefighters. Information Security Analyst Joel Kaigler and Vice President, Sr. Commercial Relationship Manager Denis Jefferies provided us with a few tips on keeping your home and family safe from fires and carbon monoxide:

Check Your Smoke & Carbon Monoxide Detectors

First and foremost, check smoke detector batteries and put detectors in every room and sleeping area. It’s important to have them on every level of your home and perform regular testing once a month to ensure the detectors are functioning properly. You should replace your smoke detectors around every 10 years from the manufacture date. Depending on your municipality, the local fire department may have a program to install these and/or provide them for you free of cost, so check to see if a program is offered in your area.

Second, install carbon monoxide (CO) detectors in your home. Carbon monoxide is produced by various fuel burning appliances (gas stoves, gas furnaces, fireplaces, etc.). If those appliances aren’t venting properly, it can create a dangerous buildup of the gas inside your home. Carbon monoxide is lighter than air, so you want to put your detectors around 3-5 feet off the ground. Install these detectors in a garage, outside sleeping areas, and in the basement (but be careful not to place them near any gas burning appliances which can produce false positives). If your carbon monoxide detectors go off, call 911 and evacuate with your family and pets until the fire department arrives.

Have an Exit Plan

In the event of an actual fire or gas leak, it’s crucial to develop an exit plan and review the plan with all the members of your family. You’ll want to review with all family members how to exit the home and get to a meeting spot somewhere out of danger and away from the structure. With younger children, it’s important to take them to a fire department open house and let them see firefighters in full gear, if possible. Once fully masked and suited up, firefighters can look frightening to younger kids, so having a chance to be exposed to them in a friendly setting can prepare children in case of an emergency.

Make Your House Number Visible

Finally, another item that can save valuable time when emergency help is called to your home is making your house number as obvious to see as possible. Replace house numbers that are too small or are falling off or in bad condition. It may not be top of mind, but you want emergency responders to be able to identify the house, park, and go inside to help – because seconds really do count.

At GRB, we are proud to provide this important information and recognize the extraordinary work of Denis, Joel, and the rest of our community’s emergency responders during Fire Prevention Month – and always.

In 2021, Congress enacted the Corporate Transparency Act. This law creates a Beneficial Ownership Information (BOI) reporting requirement as part of the U.S. government’s efforts to make it harder for bad actors to hide or benefit from their ill-gotten gains through shell companies or other opaque ownership structures.

New requirements start Jan. 1, 2024

Beginning on January 1, 2024, many companies in the U.S. will have to report information about their beneficial owners. Beneficial owners are the individuals who ultimately own or control the company. Companies must report will report the information to the Financial Crimes Enforcement Network (FinCEN). FinCEN is a bureau of the U.S. Department of the Treasury. 

Generally speaking, companies structured as corporations, LLCs, and those created by filing a document with the secretary of state or similar office under the law of a State or Indian tribe are likely required to report BOI. For the organization, BOI information includes legal names, DBAs, addresses, TIN, and other basic information.

The information being collected for individual beneficial owners helps establish the identity of the individual. It includes birth date, residential address, and identifying number and image of government-issued documentation (driver’s license, passport, etc.). For reporting entities, a beneficial owner is defined as an individual who either directly or indirectly:

• Exercises substantial control over the reporting company (i.e. senior officer, important decision makers, individuals with appointment or removal authority), or
• Owns or controls at least 25% of the reporting company’s ownership interests (i.e. equity, stock, voting rights, convertible instruments, capital or profit interest, options, and the like)

Additional resources