Series 7 Exam Question 283: Answer and Explanation

Question: 283

One of your customers feels they were overcharged for a trade and sends your firm a written complaint. What must happen with regard to the complaint?

• A. The complaint must be forwarded to the SEC.
• B. The complaint must be handled by a principal.
• C. The overcharged amount in dispute must be credited to the customer's account until a decision has been reached.
• D. The complaint must be forwarded to the arbitration committee.

Correct Answer: B

Explanation:

B. All written complaints must be handled by a principal of the firm. All written complaints must be kept on file with the firm as well as a description of how the complaints were handled.