Creating Compliant & Effective Financial Marketing

This act established the Federal Trade Commission (FTC) as the main body to regulate unfair, deceptive, or abusive acts or practices (UDAAP) in the financial industry. According to the FTC Act, financial advertisements and marketing must be truthful and non-deceptive, and advertisers must be able to back up their claims with evidence.

We can help you:

• Create ads that use clear and conspicuous language that is easy to understand by the average consumer

• Avoid making exaggerated or unsubstantiated claims that could mislead or confuse consumers

• Provide all the material information that consumers need to make informed decisions, such as fees, rates, terms, conditions, risks, and benefits

• Disclose any limitations or restrictions that apply to your offers or promotions, such as eligibility requirements, expiration dates, or availability

• Correct any errors or inaccuracies in your ads as soon as possible (and keep them updated if there are regulatory shifts)

This act requires depository institutions to disclose accurate and uniform information about deposit accounts, such as interest rates, fees, balance requirements, and compounding methods. TISA also regulates how depository institutions can advertise deposit accounts, such as using clear and conspicuous disclosures, avoiding misleading or inaccurate statements, and providing additional information when using triggering terms, such as “free” or “no fees”.

We can help you:

• Create ads that use consistent terminology and format when disclosing information about deposit accounts

• Avoid using terms like “guaranteed”, “insured”, or “risk-free” unless you can explain what they mean and how they apply to your accounts

• Provide a toll-free number or a website where consumers can obtain more information about your accounts

• Include the annual percentage yield (APY) when advertising interest rates for deposit accounts

• Disclose any minimum balance requirements or penalties for early withdrawal for deposit accounts

These acts prohibit discrimination in credit transactions based on race, color, religion, national origin, sex, marital status, age, receipt of public assistance, or exercise of consumer rights.

ECOA and FHA also require financial institutions to include equal credit opportunity or equal housing opportunity slogans and logoson their advertisements, as applicable by regulator.

We can help you:

• Create ads that treat all consumers fairly and equally when offering credit products or services

• Avoid making statements or implying preferences that could discourage consumers from applying for credit based on prohibited factors

• Provide consumers with a notice of action within 30 days of receiving their credit application

• Inform consumers of their right to request the reasons for any adverse action taken on their credit application

• Include the appropriate slogan or logo on your advertisements for credit products or services related to housing

These acts regulate how financial institutions can use telephone calls, text messages, faxes, and prerecorded messages to advertise their products or services.

TCPA and JFPA require financial institutions to obtain prior express consent from consumers before contacting them for marketing purposes, to honor do-not-call requests and opt-out requests, to provide identification and contact information on their communications, and to limit the time and frequency of their communications.

We can help you:

• Create ads that obtain written consent from consumers before sending them any marketing communications via phone, text message, fax, or prerecorded message

• Maintain a list of consumers who have opted out of receiving marketing communications from you and do not contact them again

• Provide a clear and easy way for consumers to opt out of receiving future marketing communications from you on every communication

• Identify yourself and your company name on every communication and provide a valid phone number or address where consumers can reach you

• Avoid contacting consumers before 8 a.m. or after 9 p.m. local time, or on Sundays or holidays, unless they have given you permission to do so

This regulation applies to broker-dealers and other members of the Financial Industry Regulatory Authority (FINRA), which is a self-regulatory organization that oversees securities firms. The FINRA Advertising Regulation sets forth standards and guidelines for fair and balanced communications with the public about securities products and services. The regulation requires FINRA members to file certain types of communications with FINRA for review and approval, to comply with content standards and disclosure requirements, to maintain records of their communications, and to supervise their communications.

We can help you

• Create ads that file your communications with FINRA in advance if they fall under the categories that require pre-approval, such as retail communications concerning registered investment companies, direct participation programs, or collateralized mortgage obligations

• Ensure that your communications are fair, balanced, and not misleading, and that they provide a sound basis for evaluating the securities products or services you offer

• Disclose any risks, fees, commissions, conflicts of interest, or limitations that apply to your securities products or services

• Use performance data that is accurate, current, and consistent with FINRA rules and guidance

• Supervise and train your personnel who are involved in creating or distributing your communications