SIE Exam Question 24: Answer and Explanation

Question: 24

If a registered representative receives a customer complaint, what should he or she do first?

• A. Try to handle the customer by himself or herself
• B. Notify the branch manager or designated compliance individual
• C. Notify the Chief Compliance Officer of the broker-dealer
• D. Nothing

Correct Answer: B

Explanation:

If a registered representative (RR) receives a customer complaint, the first thing he or she should do is notify the branch manager or designated compliance individual. FINRA Rule 4513 states that customer complaints must be submitted in writing and kept for at least four years on record. Complaints must be reported by the 15th day of the month.