Does the lender have the right to request any type of real-time monitoring of the creditor’sactivities?
Some lenders may require as part of the loan agreement that the creditor allow an Open Database Connection (ODBC) interface between the lender and the creditor’s Enterprise Resource Planning (ERP) system. This would allow the lender real-time monitoring of the creditor’s transactions inorder to determine compliance. An ODBC interface can integrate an automated monitoring capability into the creditor’s system by providing real-time access to critical performance measures and indicators. What steps can creditors take to ensure successful audits? Having a sound system of internal control will help the creditor produce more reliable financial information. If you have poor internal controls, you will likely have unreliable reporting mechanisms, and thus unreliable (reported) results. If you know your information is reliable, there shouldn’t be any surprises during the audit. On the other hand, if your reporting is unreliable, the auditor might determine an entirely different value from tran
