Social media is a free tool utilized by millions of sales folks worldwide to promote brand awareness and connect with customers on a more personal level. However, compliance personnel are all too aware of the dangers that social media can sometimes hold, including brand reputation and regulatory compliance. One social media platform, Alignable, poses more potential risk for mortgage industry professionals than some of it’s peers.
Now, perhaps you haven’t heard of Alignable? That is not uncommon. Though the platform went public back in 2014, only within the past two years has it begun to truly proliferate among mortgage loan officers. As stated on their website, Alignable is “the online network where small business owners across North America drive leads and prospects, generate referrals, land new business, build trusted relationships, and share great advice”. There are some key compliance buzz words in that statement, RESPA section 8 being top of mind. Most mortgage lenders are generally only aware of 3 or 4 social media platforms altogether, but regulators are expanding their social media examination pools wider and wider. Here are some key items to be aware of about Alignable:
All this being said, it is important to note that not all social media is created the same. Some have more inherent risks for the financial industry than others and must be monitored more closely. Some financial institutions have outlawed it’s use altogether as an employer, while other organizations have taken a wait and see approach, not wanting to rock the sales team boat. No matter where an institution’s risk tolerance level falls, developing a strong social media policy with clear guidelines around specific platform usage is paramount to preventing a social media disaster.
Financial institutions are responsible for monitoring and controlling the risks related to social...