Compliance Example for Financial Services Cloud

Compliance Example

Consider the scenario of a customer applying for a $200,000 USD home loan.

A client contacts their financial institution for a $200,000 USD home loan. The loan officer completes the application with details such as the client’s personal information, employment status, loan details, and vehicle information. The loan officer indicates that the client is an active duty service member. An home loan offer of $200,000 USD, 6.7% interest rate, and a 48 month term is generated. Before submitting the application, the loan officer reviews the summary that shows these two compliance-check messages for the home loan business process, indicating that the application is non-compliant:

• The interest rate quoted (6.7%) is higher than the 6% rate mandated by SCRA (Servicemember's Civil Relief Act) for active service members.
• The applicant’s identification document wasn’t uploaded to the application.

On the home loan application, the compliance audit trail shows a log of the compliance checks. The application must be compliant before it is approved and the client receives the home loan.

Example: Create a Compliance Validation Procedure for Home Loans

This example shows you how to establish a compliance validation procedure for the home loan business process. The procedure makes sure that loan officers adhere to relevant regulations and policies, such as the Servicemember's Civil Relief Act (SCRA) and internal company policies. The process involves compliance officers, control managers, and Salesforce admins to define regulation and policy clauses, design and configure compliance controls, group controls into a validation procedure, define and map the business context, and activate the procedure.

1. As a compliance officer, review regulations and policies and define clauses .
   1. Examine relevant regulation documents (for example, SCRA) and internal company policy documents related to home loans.
   2. Define regulation and policy clause records.

      SCRA mandates a maximum 6% interest rate for active service members on home loans.

      Applicant identification documents must be uploaded for active service members to receive the 6% interest rate on home loans.

2. As a control manager, enforce regulations and policies at the company by designing compliance controls based on defined regulation and policy clause records .
   1. Create these two compliance controls:

      Service Member Interest Rate: Enforce the maximum 6% interest rate for eligible service members.

      Applicant Identification: Ensure that the required identification documents are uploaded.

   2. Associate the controls with a validation procedure.
3. As an IT admin, configure compliance controls.
   1. Automate controls by using context definition and expression sets or Apex classes. The IT admin determines to implement the service member interest rate and applicant identification controls by using an expression set and context definition.
4. As an IT admin, create and implement a validation procedure.

   Validation procedures are a group of compliance controls. When the home loan business process runs a validation procedure, the controls in the procedure are invoked.

   1. To create a context definition, define the data resources referenced in the expression set. For this example, create a context definition with the Application Form object as the top-level node.
   2. To implement the logic for the compliance controls, create an expression set. Include these compliance elements:

      Compliance Check: Determines if the home loan application is compliant with each control. Customize a non-compliant message for users. This element is required when an expression set usage type is compliance.

      Compliance Control Log: Adds business context to the compliance audit trail. Use it to keep a log of the attributes in the context definition.

   3. Create a home loan validation procedure by configuring the controls, defining business context, and then mapping business context.

      To configure controls, add the service member interest rate and applicant identification compliance controls to the home loan validation procedure.

      To define the business context, specify the input parameters required for the validation procedure. For Procedure Parameter, select Application Form ID, and for Data Type, select Record ID.

      To map the business context, map the procedure's parameters to the parameters required by each control. For example, for Business Context Parameter, select Application Form ID to map the Service Member Interest Rate Control to the Application Form.

      Review the configuration summary for the validation procedure and submit.

      The status of the home loan validation procedure is updated to Configured.

5. As a control manager, carefully review the configured validation procedure to ensure that the controls accurately meet the defined business needs and compliance requirements.
6. As a control manager, activate the home loan validation procedure to make it available for use within the home loan business process. When the home loan business process runs this validation procedure, the applicant identification and service member interest rate controls are executed.