It has never come up.  What are you talking about?

There is NO 'bending" of the rules, unlessyou want one of the shortest careers on record.

I have no idea what you're talking about...........

I need to reorder some personal checks and change my address.  Can you do that for me?

[quote=newrookie]

For those of you who work in banks, what, if ever, are the circumstances where you are asked to bend the rules for "special" bank people - big depositers, trustees, etc.?

Not knowing our business, I know compliance is a thorn in the bank's side, and they think it's alot of picky stuff.  They also have these people who are important to the bank in whatever regard, and are used to special treatment by the bank.

I am very protective of my good reputation and license though, and no matter who it is, I don't intend to bend any compliance rules.  Certainly over-service, but compliance is compliance.

Has anyone been put in this position?  How do you handle the politics of balancing the need to overcompensate for these people, while still staying within the lines of compliance rule?

[/quote]

Please give an example.

Compliance in securities and insurance is a COMPLETELY different arena than bank compliance.

I'm not going to go into the details, but there have been several instances where I have been asked by the bank to do other than what compliance says I must do in the situation when the investment client is a trustee of big depositor of the bank.

I have always copied my mgr at the bank on the compliance emails so that they know it is coming from compliance, and I explain I cannot do anything differently than what the regulations are, no matter who the client is. 

Brief example - compliance says I need an LOA to speak to a relative of the account holder (normal SOP) - bank says "they (the client) said (to the bank) it was OK to talk to the relative - they told me that - I trust them completely, they've been a bank client for years, so just go ahead.   We don't want to bother them to do an LOA.  They are too busy".

So I get caught in the middle, and there's tremendous tension because I won't comply and stand firm that I must abide by securities regulation.  Then I'm seen as a PIA and that I'm not being flexible with these important bank clients.

It's no longer an education process - this has now happened 4-5 times, and I've told them over and over I work by the book, I don't break the rules, I'm an honest broker, that's why I have a clean record and the rules are the rules no matter who it is.  Doesn't help.

Having worked at a bank then a bank brokerage for a while I actually
understand.  The bank should not bend the rules like your example
either…and if push came to shove those giving information to the
wrong person would be fired immediately.



You have the same rules.  If there is a relative that should have
access to information they should get a Power of Attorney, or something
that formalizes the situation.  Trust su on this NEVER, NEVER,
NEVER bend the rules, it just is not worth it.



When a complaint comes in they look at the rule book, and that is
gospel.  IF you get a complaint for not accomidating a client
because they ask you to do something thaqt is illegal…you may loose a
client but keep a job.  You get a complaint and you have broken a
rule, ESPECIALLY one like in your example and you will loose your job
and find it difficult to get another one in the industry (U4). 

So what's the solution?

I WON'T do it, the bank is pressuring me TO do it (bend the rules) and they get miffed when I say NO.

They HATE our B/D compliance department (they should be used to compliance people being a bank, no?) and I think they think compliance on the investment side just makes up rules as they go and so see it as "no big deal" to bend them.  I've tried to tell them otherwise....

You need a meeting between YOUR manager and your BRANCH manager.

You don't work for the BRANCH manager.  That needs to be made CRYSTAL CLEAR.  This means that the bank branch manager needs to be put on notice on what exactly you can and can't do.  If necessary, you bring in the bank branch manager's VP in on that meeting.

If you're not willing to get this meeting together, you must not be serious about staying at this job and in this career.

You need to grow a backbone NOW - for you, your family and your CLIENTS.

With the client, I would say something like this:  We are highly regulated and I need certain documentation from the account holder to share information.  I'm regulated by the state, NASD and SEC.  Banks are regulated by the FDIC and are FEDERALLY insured.  Investments are not.  I need to follow the rules laid out to protect my client.

BTW, if you couldn't figure out the same solution that I outlined, I fear that you will not be long for this career.

BTW, before calling this meeting - DOCUMENT EVERYTHING!!!  Dates, times, clients & requested rules to be "bent."

Be ready to back up your accusations with your branch manager and be ready to throw down the "gauntlet".

Leave that bank.  They obviously are clueless to the fact that you are held to a higher standard than the FDIC folks in the brach are…

AH…I work with several folks on our board and they realize the complexities involved in our business.  I say you need this, they don’t ask why.  If they did I would explain either we sign these forms or soon our institution won’t offer investment advice.

Your license is WAY more valuable than any one trade if you love the business.

I worked with a banker once that STOLE MONEY from our mutual client.
Let just say bringing in his outside money was a little more challenging after the BM was snaking him. He was feeling good until the FBI busted him.

Do the right thing…You need to be able to sleep at night.
You also can bring this to the attention of the higher ups at the bank.