Series 65: 8.10.4. Agent Registration

8.10.4. Agent Registration

To register an agent, a sponsoring broker-dealer or issuer must use FINRA's Gateway System to file a Form U4, and the individual must pass whatever exams are required for the types of securities she will be selling. Additionally, potential agents must pass a background check that looks for previous criminal as well as regulatory violations. The applicant must file a “consent to service of process,” which allows a state administrator to receive legal papers (summons, notice of lawsuits, etc.) on behalf of the agent. As part of a broker-dealer’s state registration, the broker-dealer must also file a consent to service of process. Once the consent to service of process has been filed, it does not need to be renewed.

Form U4 contains detailed personal information, including:

• Physical characteristics

• Residential history

• Employment history and other businesses

• Criminal history

• Civil judicial proceedings

• Bankruptcy judgments and liens

• Customer complaints

• Prior terminations due to improper behavior

• Financial