IT Examiner School eBook

Fintech

• Partnerships • Subsidiaries • Banking-as-a-Service

Significant Service Providers (SSP) What is an SSP? • Federal Agencies have statutory authority to

• Independent TSP are broken down into the following categories: • Regional Service Providers - TSPs that are local and smaller in size or complexity • Significant Service Providers (or SSPs) – Larger TSPs that are considered systemically important • As a general rule, TSPs are considered SSPs when the TSP processes: • mission-critical applications for a large number of financial institutions that are regulated by more than one Agency, thereby posing a high degree of systemic risk; or • from a number of data centers located in different geographic regions.

supervise third-party servicers (including Technology Services Providers (TSPs) or Multi-Regional Data Processing Servicers (MDPS)) that enter into contractual arrangements with regulated financial institutions. • TSP generally include independent third parties, joint venture/limited liability corporations, and bank and credit union service corporations that provide processing services to financial institutions supervised by the FFIEC member Agencies. • The Agencies coordinate the interagency programs for the supervision of TSPs through the FFIEC