What should a registered representative do upon receiving a written complaint from a customer?

What should a registered representative do upon receiving a written complaint from a customer?

• A. Respond to the complaint within 10 business days.
• B. Forward the complaint to her principal.
• C. FINRA should receive a copy of the complaint within 10 business days.
• D. The firm should immediately respond to the customer.

Answer: (B)

Upon receiving a written complaint from a customer, the registered representative's primary responsibility is to forward the complaint to her principal. This action ensures that the complaint is addressed in accordance with the firm's compliance and supervisory procedures. The principal, who is typically more experienced and holds a higher position within the firm, is responsible for reviewing and managing customer complaints effectively. By forwarding the complaint, the representative helps maintain the integrity of the complaint resolution process, allowing the firm to respond appropriately and in a timely manner. This step is crucial for ensuring that the firm complies with regulatory requirements and upholds customer rights. While there are timelines and processes involved in addressing complaints, such as the firm’s duty to respond to the customer or the possibility of notifying regulatory bodies like FINRA, the immediate and correct action for the representative is to escalate the issue to the principal, making option B the most appropriate response in this context.

Upon receiving a written complaint from a customer, the registered representative's primary responsibility is to forward the complaint to her principal. This action ensures that the complaint is addressed in accordance with the firm's compliance and supervisory procedures. The principal, who is typically more experienced and holds a higher position within the firm, is responsible for reviewing and managing customer complaints effectively.

By forwarding the complaint, the representative helps maintain the integrity of the complaint resolution process, allowing the firm to respond appropriately and in a timely manner. This step is crucial for ensuring that the firm complies with regulatory requirements and upholds customer rights.

While there are timelines and processes involved in addressing complaints, such as the firm’s duty to respond to the customer or the possibility of notifying regulatory bodies like FINRA, the immediate and correct action for the representative is to escalate the issue to the principal, making option B the most appropriate response in this context.