Magazine Feature

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By Jim Smitherman

For the majority of traditional community banks, over 90% of
earnings are driven by net interest income.  In a bank with assets of $500
million, a change of just 10 basis points in net interest spread represents
approximately $500 thousand in net revenues; a change of a single basis point
(.0001) will impact the bottom line by $50 thousand.

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A compliance officer has a leadership responsibility in his or her bank and in the banking industry. This is a particularly important responsibility for compliance officers in community banks. With the recent regulatory changes already made and those being contemplated, it’s imperative for compliance officers to “get in the game” and have their voices heard. One way to do that is with comment letters.