Although Preliminary Statements are issued in mid-November each year, FINRA releases its Final Statements the following January. These statements are used to confirm or reconcile the actual renewal fees broker-dealer (BD) and investment advisor (IA) firms owe after Jan. 1, 2022.
In its recent Regulatory Notice, FINRA intends to help firms review, reconcile and respond to their Final Statements as well as view the reports that are currently available in the Central Registration Depository (CRD) and Investment Adviser Registration Depository (IARD) systems for the annual registration renewal process.
The deadline to remit payment for any additional amounts owed and to report any discrepancies to FINRA is Jan. 28, 2022.
On Jan. 2, 2022, Final Statements became available for viewing and printing in FINRA’s E-Bill system. Any adjustments in fees owed because of changes to registrations, reporting statuses or notice filings after the Preliminary Statements are included in the final reconciled statements.
Firms that owed less for registrations at year end than what was reflected on the Preliminary Statement were issued a refund. Any overpayments were transferred to firms’ Flex-Funding Accounts on Jan. 2, 2022. Firms that have a credit balance in their Flex-Funding Accounts may submit a refund request through E-Bill or leave the funds in their accounts to pay for future fees. Refund processing is suspended during the Annual Renewal Program between Jan. 2 through Jan. 30, 2022. FINRA will resume issuing refund checks on Jan. 31, 2022..
Renewal Fees and Payment Methods
Final Statements reflect the final status as of Dec. 31, 2021, of all applicable renewal fees related to BD and IA registrations maintained through the CRD and IARD programs. .
As detailed in FINRA’s Oct. 14, 2020 rule filing with the SEC, FINRA’s Branch Office Processing fee, which includes the branch renewal processing fee, increased from $20 to $75 on Jan. 1, 2022. This new fee amount affects 2022 renewal fees assessed for branches registered with FINRA.
Firms are responsible for checking their Renewal Statements to confirm FINRA has received payment and that their Renewal Statement balance is paid in full.
Renewal reports are available in CRD/IARD for request, print and/or download. These reports include all individual registrations renewed for 2022; however, they do not include registrations that were “pending approval” or “deficient” at year end. Firms should examine their reports carefully to ensure that all registration approvals are correct. FINRA also suggests that firms include these reports in firms’ permanent records. See the Reports section of the Annual Renewal Program page for a complete list of reports.
If firms believe there are discrepancies on their Final Statements, they should report them in writing directly to FINRA by Jan. 28, 2022. They should send their letters describing the discrepancies, along with a copy of their Final Statement and any supporting documentation, to FINRA.
To review the complete Notice, click here.