COMPLIANCE HOT TOPIC Compliance Training Program QUESTION: Why is it important to have an adequate Compliance training program? ANSWER: It is important for a financial institution to develop and implement a written compliance training program to provide employees with the tools needed to succeed in today’s environment. Regardless of a financial institution’s size, a well written compliance training program is a critical component that will serve as a training tool for all employees. As part of a thorough CMS (Compliance Management System), a robust training program can help a company and its employees keep up to date on regulatory changes that impact the business, make correct decisions, manage risks, and avoid costly errors or other legal sanctions. Your compliance training program should be current, effective, and commensurate with the entity’s size and risk profile. It is important that all employees be familiar and in full compliance with the requirements of Federal consumer protection laws and receive comprehensive education in areas based upon their job functions and responsibilities. Employees should also receive regularly scheduled training in internal policies and procedures adopted by the financial institution to ensure compliance with those laws. It is recommended that training be tracked, documented, and followed-up. It is important to note that no two compliance programs will be identical. Your institutions’ size, organizational structure, as well as the company’s location can dictate the structure of your program. |
