Are bill-paying services more trouble than they’re worth (BARRON’S)

Investment adviser firms considering bill-paying services for their clients as an added benefit should consider the associated regulatory requirements and security concerns. Amy Lynch, FrontLine’s Founder and President, spoke to BARRON’S about the primary ways firms offering these services get into regulatory trouble. Ms. Lynch states that advisers providing bill paying to clients as a “favor” without the firm’s approval would likely be caught in a branch audit, leading to compliance issues and possible regulatory violations. She adds that if the services are properly approved at the firm level, it would need to be set up correctly within a secure system that will not “break” and create a security breach, violating firm policies and creating regulatory issues. See BARRON’S, “Some Clients Want Help With Bill-Paying. Advisors May Want to Say ‘No.'”