Which statement is TRUE regarding a complaint received by a registered person from a customer?

Which statement is TRUE regarding a complaint received by a registered person from a customer?

• A. No action is required if the complaint is frivolous
• B. A memo must be prepared describing any action taken in response to the complaint
• C. The complaint should be ignored if it's about a new issue
• D. Complaints cannot be documented

Answer: (B)

The statement asserting that a memo must be prepared describing any action taken in response to the complaint is accurate because it aligns with regulatory guidelines that emphasize transparency and accountability in dealing with customer complaints. Documenting the complaint and the response is a crucial step in ensuring that the registered person maintains comprehensive records for compliance purposes. This practice helps to track any patterns in customer feedback, supports risk management efforts, and provides a clear history of how complaints have been handled, which is beneficial in cases of future inquiries or audits. Maintaining thorough documentation demonstrates professional conduct and a commitment to addressing customer concerns properly. This process can also enhance customer trust, as it shows that the registered person is engaged and responsive to feedback, reinforcing the significance of customer service in the financial sector.

The statement asserting that a memo must be prepared describing any action taken in response to the complaint is accurate because it aligns with regulatory guidelines that emphasize transparency and accountability in dealing with customer complaints. Documenting the complaint and the response is a crucial step in ensuring that the registered person maintains comprehensive records for compliance purposes. This practice helps to track any patterns in customer feedback, supports risk management efforts, and provides a clear history of how complaints have been handled, which is beneficial in cases of future inquiries or audits.

Maintaining thorough documentation demonstrates professional conduct and a commitment to addressing customer concerns properly. This process can also enhance customer trust, as it shows that the registered person is engaged and responsive to feedback, reinforcing the significance of customer service in the financial sector.