What Are FINRA’s Rules for Business Texting and Call Recording?

As mobile messaging becomes more deeply embedded in how financial professionals communicate with clients and colleagues, compliance challenges are becoming more urgent. 

The Financial Industry Regulatory Authority (FINRA) has issued clear expectations regarding electronic communications. Text messages, mobile calls, and even messaging apps can all be considered business records, and firms are expected to supervise and retain them accordingly.

Understanding the specifics of FINRA’s guidance is critical for any firm that communicates with clients via mobile devices.

FINRA’s Key Rules on Texting and Recording

FINRA Rule 4511 requires firms to make and preserve books and records, including electronic communications, in compliance with SEC Rule 17a‑4. This includes text messages if they contain business-related content. Firms cannot simply allow employees to use SMS or messaging apps without proper archiving. If it’s business-related, it must be retained.

In addition, FINRA has made it clear that mobile apps and other digital tools must fall under a firm’s supervision program. This means establishing written policies around what apps and platforms are permitted, training employees, and having the ability to monitor communications for compliance.

Another important regulation is FINRA Rule 3170, known as the “Taping Rule.” It requires certain firms, those that meet specific thresholds of hiring from disciplined firms, to record and retain phone conversations for regulatory review. These recordings must be preserved for three years, with at least two years easily accessible for audit purposes.

These rules are not theoretical. In recent years, FINRA and the SEC have levied significant penalties for failing to properly supervise and retain off-channel communications. In one high-profile case, major firms were fined over $2.8 billion collectively for using unmonitored messaging platforms like WhatsApp and personal SMS. The message is clear: all business communications must be captured, supervised, and ready for review.

How iPlum Helps You Stay Compliant

For firms navigating these rules, technology can make the difference between costly violations and seamless compliance. That’s where iPlum comes in.

iPlum is engineered to align with FINRA oversight and record-keeping mandates:

• Encrypted text and call archiving, with searchable history comparable to email record standards.
  
  
• Admin dashboards provide supervisory visibility over mobile communications—a compliance team’s central oversight hub.
  
  
• Configurable policies allow firms to restrict use of consumer apps and mandate communication via secure channels.
  
  
• Optional call recording supports “taping firm” needs with adjustable retention for audit readiness.

By using iPlum, financial firms can modernize their communication stack without sacrificing compliance. Whether you're a small advisory practice or a growing team, iPlum ensures every business call and message is handled professionally and preserved securely.

The Bottom-Line To Communication

FINRA’s regulations around business texting and call recording are only growing stricter. With the increasing use of mobile devices and messaging apps, firms must proactively ensure that all communication channels are compliant. Tools like iPlum offer a simple, scalable way to meet regulatory expectations without slowing down your business.

If your team is texting clients, you need a solution built with compliance in mind. With iPlum, you're not just getting a secure line. You’re getting peace of mind.

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