September 9, 2002

Financial Services Industry Newsletter

Strategies for Success 

New IRA Rules: Outstanding Marketing Opportunity 

The Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA) and the subsequent technical corrections and final regulations, include changes to Individual Retirement Accounts that are the most comprehensive since 1986. With the release of the new Model IRA Forms, you must begin replacing and amending documents for all IRA customers. This is not simply a compliance event -- it's a fantastic marketing opportunity to talk to all your customers about the new benefits of IRA's.

First the bad news: bank systems need to be changed; you have to notify every customer of the new rules; most self employed and many small businesses will have to sign and return new plan documents; and some financial institutions will have to update prototype documents and submit them to the IRS for a new Opinion Letter. 

Now the good news: you have to talk to every customer, and you have good news to tell them --

Clients are seeking stability from the turbulent stock markets, and financial institutions now have improved tools to attract and retain long term, low cost deposits. Banks not only need to create new documents and prepare their systems and operations -- they must also be ready to provide the customer service and sales support to take full advantage of this opportunity.

Do you have the right marketing and sales strategies in place? Do you have all the resources you need to implement the new regulations? Please contact us, we can help.

Roz Palusci is a Senior Consultant at Peak Performance Consulting Group^®, and has over 20 years of experience in consumer deposit and investment products. She is familiar with all aspects of retirement account operations, compliance and marketing. Roz received her MBA in finance from the New York University Stern School of Business and  holds Series 7 (Registered Representative), Series 24 (Registered Principal), and Series 63 securities licenses.

Do you have questions about implementing the changes required under EGTRRA, and developing effective sales and marketing programs to attract and retain long term deposits? Please call us at 800-565-6345 for a free consultation.