Entities that operate in the financial services and credit industries will often reference the Regulator or use the Regulator’s logo in marketing material in an attempt to legitimize their business. However, use of the Regulator’s logo is not permitted and references to a Regulator can often overstate Regulator’s extent of oversight.
References to a Regulator and the use of the Regulator’s logo in marketing material is especially popular when targeting overseas clients. As a result, entities seek to promote themselves as regulated. When referencing a Regulator in marketing material, entities should ensure they do not promote themselves as being supervised or approved by a Regulator, or stating that the Regulator has oversight of the entity.
If an entity promotes itself as being supervised or approved by a Regulator, or stating that the Regulator has oversight of the entity, you should not do business with such entity.