Bank Improves Compliance Management and Doubles Quality Control for FDIC Exam

A regional bank partnered with Bridgeforce to prepare for a fast approaching FDIC exam. By leveraging a strong compliance culture and active engagement, the bank improved quality control by 110%, prepared to address 45 process enhancements, and strengthened long-term regulatory readiness.

A regional bank was readying itself for an upcoming FDIC exam in three months. Leadership at the bank sought to uncover and rectify any gaps within their operations and oversight functions of their credit card product. But with tens of thousands of compliance and operational pages to review and only 90 days to go, Bridgeforce was asked to ensure the bank could reach its compliance goals in time. In the end, the bank increased their quality control by 110% and were primed to act on 45 process enhancements.

Strengthening Compliance and Streamlining Documentation

Bridgeforce’s team took on the role of project manager by directing all activities that ensured the bank was ready for their FDIC exam. This included reviewing relevant documentation, identifying and prioritizing gaps, and recommending enhancement opportunities – all within 90 days.

Current State Assessment Uncovers True Level of FDIC Exam Preparedness

To help the bank prepare, Bridgeforce launched a comprehensive evaluation of their CMS, focusing on key areas in the first and second lines of defense. This included thorough reviews of management oversight, the compliance program (including issues management), and the complaints program. These areas were critical to ensuring the bank’s compliance with FDIC regulations.

The bank’s strength in maintaining robust and comprehensive documentation allowed the Bridgeforce team to quickly identify areas for improvement. This solid foundation made it easier to spot inconsistencies in documentation formatting and language, outdated procedures, and redundancies in similar processes.

Bridgeforce evaluated the bank’s policies, procedures, training, and testing, which were already well-developed, thanks to the bank’s comprehensive compliance program. The bank’s culture of compliance stood out as a core strength, driving active engagement from all levels of the organization. This high level of participation ensured that critical insights from the bank’s SMEs addressed high-risk areas efficiently.

Closing the Gaps: Recommendations and Roadmap for the Future

After completing the evaluation, Bridgeforce developed a set of targeted recommendations to enhance the bank’s first and second lines of defense, as well as their overall CMS framework. The future-state roadmap provided by Bridgeforce addressed the current regulatory needs and positioned the bank for continued compliance success. This roadmap, supported by the client’s executive team, prioritized risks and included high-level organizational design considerations to support long-term operational improvements.

The bank’s leadership remained actively engaged, ensuring that all recommendations aligned with their strategic vision. This collaborative approach was supported by Bridgeforce’s project management, which included weekly status reports outlining decision making, and any emerging risks. As a result, the project was completed on time and under budget.

Improved Compliance, Enhanced Documentation, and Long-Term Success

By the end of the 90-day engagement, the bank was fully prepared for its upcoming FDIC exam, with all gaps addressed and processes tightened. The most significant outcomes included:

• A 110% increase in quality control, providing stronger oversight of the bank’s compliance efforts.
• 45 recommended process enhancements, improving the efficiency and effectiveness of their CMS operations.
• Cleaner, more consistent documentation that not only met regulatory standards but also demonstrated the bank’s commitment to compliance.

Thanks to their robust compliance culture, the bank’s strengths, including comprehensive policies, procedures, and active engagement across the organization, ensured that the improvements were not just short-term fixes. The collaboration with Bridgeforce didn’t just prepare the bank for the exam – it equipped them with a stronger CMS and actionable steps to achieve long-term compliance management and success.

Prepare for an FDIC Exam with Bridgeforce

Whether you’re preparing for an FDIC exam, a CFPB exam, or other regulatory encounter, Bridgeforce can ensure you’re ready to pass. We provide a thorough review of your existing environment, which requires understanding the governance, functional structures, control programs, and documented activities to evidence compliance. Our proprietary assessment templates and compliance constructs will quickly uncover gaps. We organize the effort around more than the examination manual to identify and improve areas to be addressed. Ready to get started? Contact us.

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