Banks with active and imaginative marketing departments can produce some great ideas, but some of the ideas can break some rules. Bank staff members who want to assist local charities can also step outside of legal and regulatory boundaries.
Nobody wants compliance mistakes but when they are tolerable and in moderation, you grow, you learn from them and that leads to improvement and survival in a tough world of compliance and banking.
When your bank receives a claim that an ACH charge to a customer’s account was unauthorized, you have to respond correctly and your customer expects swift results.
The FDIC’s revised regulation on Advertisement of Membership, False Advertising, Misrepresentation of Insured Status, and Misuse of the FDIC’s Name or Logo becomes effective April 1, 2024, with a mandatory compliance date of January 1, 2025.
Your problem -- a branch wants to raffle off homemade pies to raise money for a charity near and dear to the heart of those bankers. But is this a raffle, a contest or a lottery?