WeChat has become an efficient messaging channel for various businesses. Numerous companies find it more structured than any other communication tool as it has an account, especially for businesses. The WeChat Business accounts are significantly convenient in the corporate world as they help firms increase brand awareness for their Chinese leads and clients and offer the best functions like WeChat Pay, Stores, geo-location services, HTML five campaigns, instant customer service, and four publishing times per month with push notifications.
Unfortunately, many frauds and scammers took advantage of all its amenities. To prevent them from victimizing more individuals, the Financial Industry Regulatory Authority (FINRA), Securities and Exchange Commission (SEC), and Markets in Financial Instruments Directive (MiFID II) have established protocols for institutions utilizing WeChat to comply with.
Here are some of the WeChat Compliance businesses should know about:
Rule 3110 (Supervision) and Rule 4511 (General Requirements) of FINRA
These two regulations of FINRA regulate companies to maintain archiving practices, including archiving WeChat messages and monitoring calls on WeChat. Both rules mandate that firms supervise and retain all business-related communications to guarantee compliance with securities laws.
SEC Rules 17a-3 and 17a-4
Both of these regulations dictate that all broker-dealers must adhere to constructing and preserving comprehensive records of every securities settlement in an easy manner. Some of the documents that should be retained include:
- Customer account ledgers
- Asset and liability ledgers
- Trade blotters
- Canceled checks
- Trade verifications
- Order tickets
MiFID II – European Union Regulation
This EU supervision requires credit and investment firms to record and archive all telephone and mobile interactions intended to lead to a transaction. These institutions are responsible for maintaining these records in their original structure, which should not be altered or deleted. And like FINRA and SEC’s regulations, this EU law includes WeChat messages and calls.
As the COVID-19 pandemic brought multiple challenges to financial institutions, messaging channels like WeChat have paved the way to make communication easier. Thus, with these sectors enhancing the stability and transparency of utilizing this platform, companies must adhere to all WeChat compliance regulations they are implementing.
Learning all the laws for WeChat messages and call recordkeeping is vital. TeleMessage, one of the most prominent companies known for their business mobile communication solution services, mentions that it is also important to choose the right conversation tools to ensure firms comply with these regulations.