Compliance in the Digital Age: Navigating Social Media for Mortgage

Social media has evolved into an essential tool for mortgage originators to connect with potential clients and establish themselves as industry thought leaders. However, as with any online activity, there are compliance issues to consider to ensure that posts do not violate any laws or regulations. In this article, we'll go over the various laws and regulations that affect mortgage originators when they post on social media, as well as how SocialCoach can help mitigate company risk, such as the use of certain trigger terms in social media posts.

The use of certain trigger terms in social media posts is one of the most important compliance concerns for mortgage originators. These are words and phrases that are regulated by the government and financial institutions and, if used in a post, can result in penalties or legal action. To avoid this, SocialCoach includes software that detects trigger terms and prevents them from being used in posts. Common terms that would render a mortgage originator's social media post-non-compliant include:

"Guaranteed Approval"

"No Credit, No Problem"

"Bad Credit OK"

"Pre-approved"

"Zero Money Down"

"Lowest Rates"

"Eliminate debt/bad credit"

"Foreclosure/Foreclosed"

"Bankruptcy/Bankrupt"

"Refinance and pull cash out"

"Limited time offer"

"Raise your credit score"

"Lower your mortgage payments"

"Government-backed/FHA/VA"

"100% financing"

"Easy terms"

"Free money/grants"

"Reverse mortgage"

It should be noted that this is not an exhaustive list, and regulatory agencies and laws may change over time. It's critical to consult with compliance and legal experts and stay current on the latest laws and regulations. SocialCoach can help originators identify the most recent trigger terms and regulations and will keep them up to date.

Monitoring all posts made by originators is also necessary. This ensures that posts are not only legal but also consistent with the company's brand and messaging. SocialCoach provides a monitoring service that can flag any posts that violate compliance rules or company guidelines.

Maintaining a record of all posts is also essential for compliance. In the event of an investigation or audit, this allows for easy reference and review. SocialCoach has a post archive feature that keeps a record of all posts, allowing creators to easily review their previous posts and ensure compliance.

In addition to these features, SocialCoach provides originators with compliance training to ensure they are up to date on the latest laws and regulations. Training on the Real Estate Settlement Procedures Act (RESPA), the Fair Housing Act (FHA), and the Truth in Lending Act is included (TILA).

It is critical to understand that compliance is a continuous process that requires constant monitoring and updating. SocialCoach keeps creators ahead of the curve by providing the tools and resources they need to navigate the constantly changing social media landscape. Mortgage originators can use SocialCoach to focus on building relationships and growing their businesses while we handle compliance issues.

Finally, while social media can be a valuable tool for mortgage originators, it also raises compliance concerns. SocialCoach provides a variety of features and services to assist originators in remaining compliant and mitigating company risk. SocialCoach has the tools to help originators navigate the ever-changing social media landscape, from preventing trigger terms to monitoring posts and keeping records.