The Federal Financial Institutions Examination Council (FFIEC) has released proposed guidance on the applicability of consumer protection and compliance laws, regulations, and policies to activities conducted via social media by banks, savings associations, and credit unions, as well as nonbank entities supervised by the Consumer Financial Protection Bureau and state regulators. In a press release announcing the guidelines, the FFIEC stated: "The FFIEC expects financial institutions to take steps to manage potential risks associated with social media, as they would with any new process or product channel."

All companies should develop and implement an effective social media policy. For financial institutions, the social media policy should take into account these guidelines. If you have not taken steps to focus on this now is a good time to do so. If you have not taken steps to focus on this now is a good time to do so.

Pillsbury's industry leading social media team offers social media audits and helps companies develop social media policies.

Click here for a full copy of the guidelines.