Oklahoma Banksgreenspun.com : LUSENET : TimeBomb 2000 (Y2000) : One Thread
From today's Daily Oklahoman.....
State Banks Prepare for Y2K Deadline (by Danny M. Boyd)
Oklahoma Banking Commissioner Mick Thompson said Wednesday that he expects all state chartered banks to have computer systems ready for 2000 by September.
"Very few" state banks have lagged in becoming compliant, said Thompson, who didn't identify specific banks that are trailing behind.
Federal and state bank examiners have been prodding banks to prepare computer systems for 2000 for the past several years.
The so-called Y2K glitch stems from the way computers read yearly dates by two digits instead of four.
Outdated computers could read 00 for year 2000 as 1900 instead and possibly miscalculate bank balances and transactions.
Banks trailing the pack on Y2K compliance are getting special attention from regulators, Thompson siad.
The push to prepare for 2000 has caused the Banking Department to fall behind on routine examinations as more problem ag and energy related loans are surfacing, he said.
A shortage of examiners in the banking department is contributing to the backlog of exams, Thompson said.
After Y2K exams are over and banks are compliant, examiners should be able to start catching up on their routine inspections, which include examining the quality of loans and collateral.
Although the commissioner siad he doesn't foresee bank failures in the near future, he added that regulators are concerned about problem credits for some banks caused by debtors either falling behind on payments or defaulting, or loans having inadequate collateral or insufficient documentation.
"I wouldn't say it's widespread but it is a concern," Thompson said.
In general, the state's community banks are "very healthy," he said. [end]
Ready by September???? no bank failures in the near future???? Gee, since when did 5 months seem in the long range plan?
-- (email@example.com), April 22, 1999
I'm in Oklahoma. I tell all my banker friends the following joke:(?) It's Feb 2000. A bank customer comes into the lobby....he takes out a sawed-off shotgun from under his coat...points it at the teller and screams out: "MY MONEY OR YOUR LIFE" Most laugh (weakly). A few have admitted that they too have "noticed" all the ratty looking bills in circulation now. None will admit to being instructed not to send in any barely useable bills for burning anymore. Anyone remember the Jack Benny radio show. His "trademark" so to speak was being so very tight with money. The radio scene was that a mugger came up to him and said "Your money or your life".... then there was an extended period of silence while Jack thought it over! Actually the joke is based on a news report from Russia. I understood that a russian army officer went to his bank, pointed a gun and demanded his own money...because his wife needed a surgery. Anyone else hear of that? Hope we don't come to such things!
-- jeanne (firstname.lastname@example.org), April 22, 1999.