FFIEC Releases Social Media Guidance for Financial Institutions

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FFIEC Releases Social Media Guidance for Financial InstitutionsThe Federal Financial Institutions Examination Council (FFIEC) has issued guidance for financial institutions’ use of social. According to the FFIEC, the guidance is advice and does not enforce any new obligations on financial institutions.

At PeopleLinx we’re not lawyers and we don’t offer legal advice. But based on our enterprise deployments, we think the FFIEC has delivered a smart and helpful checklist of best practices, not only for financial institutions but for any large company defining its approach to social.

Here’s what the FFIEC recommends:

  • A senior level management structure with clear roles and responsibilities on strategic use of social media.
  • Policies and procedures regarding the use and monitoring of social media.
  • A risk management process for selecting and managing third-party relationships in connection with social media.
  • An employee training program that incorporates the institution’s policies for use of social media.
  • An oversight process for monitoring content posted to social media sites.
  • Audit and compliance functions to ensure ongoing compliance with internal policies and all rules and regulations.
  • Parameters for providing appropriate reporting to the financial institution’s board of directors or senior management.

Finally, the FFIEC cautions that even financial institutions who don’t engage in social media should still be prepared to tackle the possible impact of negative comments or complaints that surface through any digital outlets.

See the entire document “Social Media: Consumer Compliance Risk Management Guidance,” here.