You have developed a new product or are launching a new campaign. So what’s involved in “clearing” an ad?

You need to check the content carefully: something that seems funny may be offensive or discriminatory.

Check that you haven’t infringed someone else’s copyright or trademark (eg by using a photo or expression belonging to someone else).

Make sure you have registered your own trade marks and domain names.

Avoid comparative advertising unless you are truly comparing "like for like".

Leaving out an important condition may be misleading. If there are conditions, highlight them. Keep your message simple and clear.

Do you have the resources to do what you offer? If you are offering prizes for a competition, check the conditions carefully. Remember the Pepsico Points case.

Does your pricing model take into account different scenarios?

Have you considered tax issues?

Have you done full “specifications” of the product?

What are the pros and cons? Costs/benefits?

What are your most important objectives?

Can compromises be made?

Is there any ambiguity? Have you conducted usability testing to see that an outsider understands what you are saying?

Are the product terms and advertising goals fully documented?

Have you considered the effect of the ad in different media? How will it look and sound on TV, the radio or internet as opposed to print? Is the ad legible, the voiceover clear?

And of course check for Credit Code and FSR compliance, as applicable.

If you haven’t properly planned your advertising and it does not achieve the intended effect, you may have to withdraw the new product.

Although UK credit unions are different from their Australian counterparts, the UK Financial Services Authority has published a report on its review on AML/CTF compliance by 32 UK credit unions which is of interest.

Some key points:

• staff were not clear about who was responsible for what AML issues;
• staff often relied on trust and personal knowledge rather than formal policies and procedures;
• In some cases the credit unions used formal money laundering reporting forms to update the MLRO, others used informal notes;
• some credit unions still rely on personal knowledge of new members and do not make adequate identity checks. Checks on junior savers were inadequate in a number of cases. Some credit unions did not perform any checks at all on juniors;
• training in all aspects of anti money laundering controls and financial crime
  prevention was weak;
• data security varied: "For example, paper files should be locked in secured cabinets with the keys locked in a safe or other secure place; we did see instances where keys were simply left on top of the cabinet…We saw examples during visits where passwords were shared..Some credit unions visited did not know what levels of access had been agreed for third parties needing to interrogate customer records, be it paper or IT based. ..In some instances credit unions had not considered the secure disposal of electronic data and the need to review systems regularly to dispose of records that are no longer relevant."

The FSA also has examples of good and poor AML practice.

Your compliance framework needs to have a designated officer as the primary contact for dealing with your regulators.

You may have other staff who deal with regulators on a day to day basis but your CEO and other senior managers should have an ongoing relationship and dialogue with key regulators on current matters affecting your organisation.

Who are the key regulators for financial service mutuals?

• prudential supervision: APRA
• AFS licensing and consumer protection: ASIC
• competition and fair trading: ACCC and State Fair Trading Offices
• AML and sanctions: AUSTRAC
• Privacy and credit reporting: Privacy Commissioner

Depending on your size and areas of business you’ll also deal with RBA (payment system including purchased payments such as smart card etc) the ATO and other regulators (such as PHIAC for health funds).