Internal Control Questionnaires and Verification Procedures

Policies for International Due From Bank Time Deposits

1. Has the board of directors consistent with its duties and responsibilities adopted written policies for international due from banks time deposits that:

   1. Establish maximum limits of the aggregate amount of due from bank time deposits for each:

      • The bank?

      • The currency of deposit?

      • The country of deposit?

   2. Restrict due from bank time deposits to only those customers for whom lines have been established?

   3. Establish definite procedures for:

      • Balancing of accounts?

      • Holdover deals?

      • Rendering of reports to management, external auditors, and regulating agencies?

      • Accounting cutoff deadlines?

      • Handling of interest?

Previous: International Time Deposits Next: Certificates of Deposit