“The CFPB expects a financial institution to maintain an adequate compliance management system (CMS) tailored to its operation. A robust and well-administered CMS is vital to preventing violations of Federal consumer financial law and the resulting harm to consumers.
The CFPB identified specific compliance practices it expects institutions to follow including regular meetings by management to review ongoing compliance efforts as well as periodic compliance audits. The CFPB also identified ongoing compliance training for employees as critical to ensuring compliant business practices.”
Luckily, eCash clients have the best of both. eCompliant is the add-on software that easily integrates into your eCash software. Now, as this regulatory storm begins, you need both.
The CFPB is definitely “all over your business” whether they have personally visited you or not. As a small lender, you can’t afford to hold your breath and hope that this passes by you. It won’t and you will turn blue.
Be ready. Start getting ready. Your employee‘s jobs, your customers and your business are all depending on it. Basically, it will break down into some big areas, such as:
- Business systems and processing
- Employee training and compliance practices
While you are managing your business day-to-day, the CFPB is actively meeting and rule-making. Compliance has now become a mandatory part of your “new” day-to-day.
Stay tuned to this blog and our Twitter feed @eSoftwareSol for industry news. Reach out to me personally at jtabb@eSoftwareSolutions.com or to our expert staff at 601-919-2275.
VP of Helping Small Dollar Lenders With Great Software