#44: How to Build the Culture of Compliance Within the Bank

So, how do you actually build the culture of compliance within your bank?When you're looking at identifying your internal stakeholders, you'll want to look at the small business department, loan ops in particular. You could look at your home mortgage department, since they also have a loan ops group that touches the data on a daily basis as they originate loans. You also have your commercial lenders, your marketing and retail groups, and your investments and treasury divisions. These are all major stakeholders in ensuring that your bank meets the credit needs of your community and that you're able to run a safe and sound CRA program. It's really important that you look at all of these lines of businesses and then move the mark and build a culture of compliance.You would start by looking at executive management and making the case for more support from the line. You absolutely have to receive management buy-in to move forward. You can outline the expectations that you're hoping to support through working with a small business.You must also address the capacity issues. Everybody feels like they have an overwhelming plate of tasks, duties and job responsibilities. So, you must address this with management at the very start, so that you can be mindful of everyone’s time and efficiently rebalance job activities. You must also commit to training as much as is necessary to support a smooth transition and ensure data integrity over time.You'll definitely have to play a leadership role in the training of your new stakeholders and lines of business, the key people that are supporting your CRA program. You'll also want to create your policies and procedures that then relate to the CRA. So, if it's in their job description and they're playing a role in the CRA program, you'll want to make sure that it's evidenced in the CRA policies, procedures, and desktop procedures for the work that they do. You can also create incentives, so that these stakeholders are inspired to do more. You always want to involve the lines of businesses as you continue to grow your CRA program, so that it’s truly the bank's responsibility in your building up the CRA program as a team.Quotes• “You’ll provide a lot of leadership, but it’ll pay off by having a second set of eyes and more resources to support your CRA program.” (05:35-05:43)CRA Today helps bankers master the Community Reinvestment Act, get exam ready, and change lives through the power of community development.Want to learn the CRA basics? Sign up for CRA Essentials Live! A live webinar with Linda Ezuka that shares everything you need to create a solid foundation for your CRA journey. https://hub.cratoday.com/freewebinarReady to take a deeper dive into the CRA? Join your fellow CRA enthusiasts in the CRA Hub as we navigate regulatory change, study core CRA concepts and connect as community development professionals across the nation.https://cratoday.com/hub/Are you understating your lending performance? Learn the 5 Foundational Steps to Building an Outstanding Community Development Loan Portfolio with an on-demand training workshop.https://cratoday.com/blueprint/CRA Today Website: https://cratoday.com/ Linda Ezuka, LinkedIn https://www.linkedin.com/in/linda-ezuka-cra-today/Copyright © 2022 by CRA Today LLC(No claim to original U.S. government material)All rights reserved. No part of this podcast may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, including electronic, mechanical, photocopying, recording, or otherwise, without prior written permission of the author and publisher.This podcast is a periodic publication of CRA Today LLC and is intended to notify and inspire recipients of new developments in the Community Reinvestment Act. It should not be construed as legal advice or legal opinion on any specific facts or circumstances. The contents are intended for general informational purposes only, and you are urged to consult your own attorney concerning your situation and specific legal questions you have.Podcast production and show notes provided by HiveCast.fm