A bank inspector, also known as a bank examiner, is in charge of many of the quality control measures implemented a bank to ensure that it runs smoothly. In many cases, a bank inspector is part of the bank’s existing internal auditing system. However, there are times when a bank inspector is brought in from outside the bank to provide an unbiased third-party opinion.
The bank inspector will ensure that all transactions in their jurisdiction are properly recorded. In fact, a bank’s logs can be so extensive that bank inspectors must focus on specific areas. Otherwise, the inspector may not have the time or expertise to cover all of the aspects of the operation as thoroughly as is required.
A bank inspector’s audit may look at many different aspects of bank management, not just whether transactions are properly logged. A bank inspection can be very thorough, looking at a variety of operations. This may include determining the bank’s net worth, assets versus liabilities, and other important functions in addition to checking the accuracy of logs.
Following the completion of the basic checks, the bank inspector may determine that additional research is required in a particular area. If this occurs, the case may be assigned to another inspector who specializes in investigations or other types of irregularities. It is then up to that person to figure out why there is a problem and whether it is one worth investigating. The vast majority of the time, this is due to human error. In other cases, the employee may be falsifying information on purpose in order to steal from the company. If the inaccuracies are deliberate, a law enforcement agency may be required to file criminal charges.
Others can be obtained from an outside accounting firm for audits, or even the federal government in the form of a bank regulator, in addition to the internal bank inspector. This may be necessary in order for the bank to participate in the FDIC program. A third-party bank inspector’s job is nearly the same regardless of who the employer is: to determine if the internal bank inspector missed anything and to ensure that the bank is following all bank regulations.
Bank inspection often necessitates at least a four-year college degree, as well as relevant accounting experience gained through practical job experience or an internship program. Bank inspectors can expect to earn between $50,000 and $88,000 USD once they graduate. For those who have recently graduated from college, the number is on the lower end of the scale.