ZL Tech

The financial services sector is one of the most critical sectors in the United States due to its importance in its economic stability and welfare. It is also a highly communicative sector where many business functions require communication extensively to run the business. Therefore, it is also a highly regulated sector and must keep records of all communications for compliance reasons and future use. One such mode of communication that is extensively used by the industry and is highly regulated is email. Most regulations require financial institutions to keep business records for at least five years, including electronic communications like emails and others. Regulations Some of the key regulations in the US financial sector are: Financial Industry Regulatory Authority (FINRA) According to  FINRA , businesses must keep, manage, and recover corporate communications irrespective of when they were performed on a personal or work-related device. Sarbanes-Oxley Act (SOX) According to...

Financial services compliance refers to the responsibility of the financial institutions to safeguard the consumer’s financial data and money that they hold and manage. It involves adhering to internal and external laws and regulations. However, there has been a surge in fines due to the nonadherence of these laws and regulations. Some notable incidents in 2021 are the  $1.4 million fine  imposed by the U.S. Treasury over sanctions violations and an  $8 million  fine by the SEC. This surge in fines has made financial institutions relook the regional and international laws and regulations. Some common laws and regulations in this sector are: Gramm-Leach-Bliley Act Payment Services Directive New York Department of Financial Services Payment Card Industry Data Security Standard Gramm-Leach-Bliley Act The  Gramm-Leach-Bliley Act  or GLBA came into effect in 1999. It is a set of financial data security standards requiring the Federal Trade Commission (FTC) to st...