A compliance officer is exactly what they sound like. It is a position that oversees that the company and their fellow employees comply with all laws, rules, and regulations of their industry. If these guidelines are not followed, the company may be fined.
Many industries have a compliance officer such as Healthcare, Environmental, and Finance. We are going to focus on the banking industry.
Education Needed to Become a Compliance Officer
Most companies require their compliance officer to hold a bachelor’s degree in their necessary field. For the banking industry, that would be a degree in finance. Depending on the company, the size of the company, and the number of employees, a master’s degree may also be necessary. A person may also hold a Compliance Officer Certificate.
Skills & Competencies Needed to be a Compliance Officer
There are five major skills that a person needs to be proficient in to succeed as a compliance officer:
- Critical Thinking and Problem Solving: Compliance officers must be able to recognize and evaluate problems and their solutions.
- Reading Comprehension: One aspect of the job is making sure paperwork is filed properly. These documents will need to be understood thoroughly.
- Detail-oriented: The difference between being compliant or noncompliant can be minimal. Compliance officers need to be able to recognize the differences and help others to understand the significance.
- Leadership: A compliance officer must ensure standards are being met for legal or commercial reasons.
- High ethical standards: Strong morals of what is right and what is wrong is needed to maintain compliance.
Career Outlook for Compliance Officers
The Bureau of Labor Statistics predicts an increase of 18% job openings for financial examiners by 2030. Those openings are expected to result from the need to replace workers who transfer to different occupations or exit the labor force.
Just like with any career, the more experience you have, the larger the salary. According to Indeed, a compliance officer usually has five years of experience in the industry before getting that position. The average salary is $48,000. A person with 20+ years of experience will make an average of $71,000.
Next Step to Becoming a Bank Compliance Officer
After your education, training, and you have the position, now what? Now you must keep current on the new laws, regulations, and reports. It seems that some of the changes occur monthly, others not for years. And if you are not staying current, then your company is not either. And that can lead to fines and other ramifications for your organization.
You are going to need help from industry experts to stay on top of all the regulatory changes. The Core Compliance Suite has guides, a regulatory calendar, and bi-monthly webinars that discuss the most recent changes.