Compliance Management Systems: a Process, not a Product

From conferences to sales pitches to webinars — it’s pretty likely that at some point you’ve seen the phrase “compliance management system” or its acronym CMS. (This can get confusing in the debt industry, since CMS can also stand for Contact Management System and Complaint Management System.)

Compliance Management Systems are required by the CFPB for collection agencies of all sizes. In fact, the CFPB has been very clear that organizations can build and scale a CMS that matches the size and complexity of their organization, while addressing the unique risks inherent to the company’s collections or services. A small company’s CMS does not have to be identical to that of a large-market participant. The goal is to get to the same end-point: Follow all the necessary regulations to a ‘T’ and treat consumers with respect.

There are some in the industry who believe that a CMS describes a software platform — an out-of-the-box, one-and-done solution that can be purchased, installed, and you’re done.

Of course, it’s not that easy. And if you’re talking to a vendor who seems to be suggesting otherwise, you’re talking to a vendor who is more interested in separating you from your money than in engaging your company in compliance.

This is a two-part post appearing on the Array Services Group blog. Read the rest of Part 1 here.

Read Part 2 here.