A bank's president would like to begin offering a new home equity line of credit product within two weeks. In all cases the borrower's principal dwelling will secure the loan. The president has already launched a planned advertising campaign for the bank's major service markets. What should the compliance professional do FIRST?

Question

Quizplus · Accepted Answer

Before launching any new product, it is important to perform a risk assessment to determine the bank's level of risk in offering this product. The compliance professional should identify all possible risks associated with the new product and ensure that appropriate risk management processes are in place before the product is launched. This helps to prevent any potential legal or regulatory issues in the future. Therefore, performing a risk assessment should be the first step for the compliance professional in this scenario. Once the risk assessment is completed, the other options mentioned can be pursued.

A Bank's President Would Like to Begin Offering a New