The amount of time and resources required for compliance has grown significantly over the last five years and the costs associated with maintaining an effective compliance program can be surprising. It may be difficult to keep current with the latest laws and regulations especially for smaller institutions with limited resources. Most out-sourced compliance firms focus on testing and are not prepared to be part of your management team providing solutions. Effective Compliance Management An effective compliance program can impact an organization’s bottom line by reducing legal, regulatory and “reputation” costs. Compliance programs should not be viewed simply as a cost center, but as a key part of business performance. An effective compliance program can also identify operational risks and help improve an institution’s internal controls. Senior management’s commitment to and support of the compliance program sets a positive tone from the top of the organization and establishes a strong compliance culture. Regulatory examiners dig into and assess your bank’s:
- • Overall knowledge and attitude of management and personnel toward compliance;
- • Management’s responsiveness to emerging issues and past or self-identified compliance deficiencies;
- • Compliance organizational structure, including reporting relationships and recent staff turnover;
- • Management information systems;
- • Policies and procedures; and
- • Training, monitoring and audit programs.
How Can NEBSG Help? Our experienced team of banking industry professionals assess your existing compliance program and make recommendations that will help you plan and implement an effective compliance management system including:
- • Board and management oversight
- • Roles in supporting other units
- • Compliance testing and self-review
In addition, we can review or develop compliance enhanced programs for the following:
- • Bank Secrecy Act (BSA)
- • Anti-Money Laundering (AML)
- • Sarbanes-Oxley Act (SOX)
- • FDICIA
- • IT Risk, Security and ISO
- • GLBA (Consumer Privacy)
- • Truth-in-Lending (Reg. Z)
- • Equal Credit Opportunity (Reg. B)
- • Community Reinvestment Act (CRA)
- • Equal Credit Opportunity Act (ECOA)
- • Loans to Executive Officers, Directors, etc (Reg. O)
- • Red Flag
For and further detail on NEBSG’s services, please call Tom Grottke or Amy Giguere at (860)436-6149.