New California Regulations: Direct Mail 1096 for Financial Mailing

Direct mail remains one of the most trusted and effective ways to reach financial consumers. But in 2025, businesses in California must operate under a new compliance reality.

The Direct Mail Law in California (SB 1096) has taken effect, introducing stricter rules on how financial solicitations are presented. The legislation aims to protect consumers from misleading or official-looking marketing while ensuring transparency and accountability across the financial sector.

For B2B marketing and compliance teams, this means ongoing attention to disclosure accuracy, design integrity, and consistent communication standards.

Key Takeaways

• SB 1096, now in effect in 2025, reshapes direct mail marketing for financial institutions in California.

• All physical mail promoting consumer financial products must clearly disclose that it’s a solicitation, not an official document.

• Businesses in the financial and marketing sectors must continuously monitor compliance with these disclosure requirements.

• Boone Graphics provides end-to-end compliant mailing, design, and fulfillment support for regulated industries.

Table of Contents

1. Overview of SB 1096 and Its Implications

2. Who Must Comply with SB 1096

3. Key Disclosure and Design Requirements

4. Compliance Checklist for Financial Marketers

5. Best Practices for Financial Mailings

6. How Boone Graphics Supports Ongoing Compliance

7. FAQs

8. Final Thoughts and Next Steps

Overview of SB 1096 and Its Implications

Senate Bill 1096 (SB 1096) requires that all physical direct mail promoting consumer financial products must include clear and prominent disclosures identifying the piece as a solicitation.

These rules now affect every stage of campaign development, from creative design to fulfillment.

The law specifies that:

• Mail must explicitly state it is a solicitation, not an official government or lender notice.

• Disclosures must appear clearly and conspicuously on both the envelope and internal documents.

• Violations may result in penalties under California’s Legal Remedies Act and other consumer protection statutes.

In 2025, compliance is not optional—it’s an operational necessity for every financial marketer in California.

Who Must Comply with SB 1096

SB 1096 applies to any organization sending direct mail related to consumer financial products or services to California residents.

This includes:

• Banks, credit unions, and lenders

• Mortgage and loan companies

• Credit card issuers

• Marketing and creative agencies serving financial clients

• Print and fulfillment vendors handling distribution

If your business promotes financial products through physical mail, you are responsible for ensuring that your marketing materials meet all SB 1096 disclosure requirements.

Key Disclosure and Design Requirements

Since January 2025, businesses have been required to revise their direct mail templates and workflows to meet compliance standards under SB 1096.

Core Requirements

1. Clear Disclosure Statement Every solicitation must display a statement such as: “This is a solicitation for marketing purposes and not an official government or lender document.”

2. Envelope Labeling The disclosure must appear prominently on the outside of the envelope, readable without opening it.

3. Avoid Official-Looking Designs Layouts, fonts, and colors must not mimic government or institutional correspondence.

4. Consistency Across Materials Any claim made in the mail piece must align with disclosures and product terms.

In effect as of January 1, 2025, these rules govern every financial solicitation mailed to California consumers.

Compliance Checklist for Financial Marketers

Action Item	Description	Responsible Department
Audit all direct mail templates	Review every mail design for disclosure accuracy	Marketing / Compliance
Confirm disclosure placement	Verify statements appear on envelopes and inserts	Creative / Print
Update fulfillment workflows	Ensure templates are current before print	Operations
Conduct compliance training	Educate marketing staff on SB 1096 standards	HR / Compliance
Implement review protocols	Approve all outgoing mail through compliance checks	Legal / Quality Control

Tip: Even with SB 1096 active, keep auditing campaigns regularly. Regulatory interpretations can evolve, and consistent monitoring protects your brand.

Best Practices for Financial Mailings

1. Maintain Transparency and Trust

Transparency drives consumer confidence. Clear, honest disclosures show respect for your audience and reinforce your brand’s integrity.

2. Protect Consumer Data

Follow the California Consumer Privacy Act (CCPA) and related privacy laws when managing recipient information. Partner only with secure print and mail providers that handle financial data responsibly.

3. Collaborate with Experienced Mail Partners

Working with a trusted partner like Boone Graphics ensures every stage—from design to delivery—meets SB 1096 standards. Our expertise helps streamline compliance without compromising creativity.

4. Measure and Adjust

Analyze response data to understand how disclosure-compliant mail performs compared to previous campaigns. Boone Graphics provides analytics tools that help clients adapt strategies under the new regulations.

How Boone Graphics Supports Ongoing Compliance

For over 50 years, Boone Graphics has helped financial and corporate organizations manage complex direct mail programs. Now, under the SB 1096 framework, our team continues to provide:

• Compliant creative design that integrates disclosure language seamlessly

• Secure data management for consumer and financial information

• Regulatory consultation to ensure ongoing adherence

• Efficient production and fulfillment under California law

• Analytics and campaign reporting for compliance tracking

Ensure every mail piece meets SB 1096 standards. Boone Graphics’ compliance specialists and creative team can review your templates and fulfillment workflows for full regulatory alignment.Contact Boone Graphics Today

FAQs: Understanding SB 1096 and the Direct Mail Law in California

1. What does SB 1096 require from businesses in 2025?

As of 2025, SB 1096 mandates that all financial solicitations sent via physical mail clearly state they are marketing solicitations and not official communications from a government or lender.

2. What are the penalties for non-compliance?

Businesses that fail to meet disclosure requirements can face penalties under the Legal Remedies Act and may be subject to consumer protection claims or enforcement actions.

3. How does Boone Graphics help organizations stay compliant?

Boone Graphics provides compliant mail design, data security, print production, and fulfillment services. We ensure your campaigns align with California’s active direct mail regulations while maintaining professional quality and impact.

Final Thoughts and Next Steps

In 2025, the Direct Mail Law in California (SB 1096) is fully operational, reshaping how financial institutions communicate with consumers. Compliance is no longer preparation—it’s daily practice.

Financial marketers must now ensure every mail piece they send aligns with disclosure, design, and privacy standards.

Boone Graphics stands as your trusted partner in this new era, offering secure production, regulatory expertise, and creative excellence to keep your brand compliant and effective.

Stay compliant with confidence. Visit www.boonegraphics.net or call (805) 966-0111 to schedule a compliance audit or campaign review.

References

• California Legislative Information. SB 1096 Bill Text – 2024 Session - https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202320240SB1096

• California Department of Financial Protection and Innovation (DFPI). Consumer Financial Laws and Marketing Disclosures. - https://dfpi.ca.gov/