Emerging Trends in Loan-Related Requests for Proposals Across Fintech and Banking Sectors

Kael TheoWritten by
Published on

Introduction

Cybersecurity has become a cornerstone of banking RFPs, with financial institutions prioritizing vendor resilience against escalating threats like ransomware, API breaches, and third-party vulnerabilities. A 2023 report by the FFIEC noted a 72% YoY increase in cyber-related RFP requirements among U.S. banks. This shift reflects regulatory pressures (e.g., EU’s DORA, NYDFS Part 500) and high-profile incidents like the 2022 Flagstar Bank data breach.

Key Cybersecurity RFP Trends

1. Regulatory-Driven Requirements

Banks now mandate compliance with frameworks like NIST CSF, ISO 27001, and SOC 2 Type II. For example, a 2023 RFP by a Top 10 U.S. bank required vendors to provide:

“Documented evidence of penetration testing results, incident response playbooks, and employee cybersecurity training logs for the past 12 months.”

Public RFPs, such as the European Central Bank’s tender for cloud services, explicitly reference DORA’s operational resilience standards.

2. Third-Party Risk Management (TPRM)

Procurement teams now scrutinize vendors’ subcontractors. A credit union RFP in Canada required:

“A complete inventory of subprocessors with geographic locations and data flow diagrams.”
Tools like Shared Assessments’ SIG Lite questionnaire are frequently referenced in RFPs.

3. Zero Trust Architecture (ZTA)

Over 40% of 2024 banking RFPs analyzed included ZTA requirements, such as:

“Multi-factor authentication (MFA) for all privileged access, microsegmentation controls, and continuous endpoint monitoring.”
The FDIC’s 2023 RFP for fintech partnerships mandated ZTA compliance for cloud-based solutions.

Best Practices for Vendors

  1. Pre-RFP Preparation

    • Maintain an up-to-date SOC 2 report and Vulnerability Disclosure Policy (VDP).

    • Use templated responses for common requirements (e.g., NIST SP 800-53 controls).

  2. RFP Response Tactics

    • Map controls to frameworks: Align security measures with the bank’s cited standards (e.g., show how your solution meets PCI DSS 4.0).

    • Provide breach simulations: Include red-team exercise summaries to demonstrate proactive testing.

Advice for Procurement Teams

  • Scoring Transparency: Use weighted evaluation models (e.g., 30% for incident response, 25% for encryption standards).

  • Vendor Proofs: Require third-party attestations like ISO 27001 certifications or FedRAMP authorization for cloud providers.

Future Outlook

Expect RFPs to integrate AI-driven threat detection mandates and quantifiable cyber-risk scoring (e.g., using FAIR models). The Bank of England’s 2024 discussion paper hints at requiring vendors to disclose AI security testing protocols in future tenders.

Conclusion

Cybersecurity in banking RFPs is evolving from checkbox compliance to evidence-based resilience. Vendors must institutionalize security documentation, while procurement teams should prioritize real-world testing data over theoretical controls. Resources like FS-ISAC’s RFP guidelines offer actionable templates for both parties.

FintechRFPs.com offers a curated library of professionally written RFP and RFI templates tailored for the fintech, banking, and payments industries. Whether you’re preparing responses for compliance, API integrations, cybersecurity, or core banking solutions, our templates help you save time, reduce errors, and improve your win rate with procurement teams and institutional buyers.

Respond Smarter and Faster with FintechRFPs.com Templates

Take the next step: explore our growing collection of fintech-specific RFP templates and boost your bid quality—visit FintechRFPs.com today.