Former MML Investors Services Advisor Michael Stephen Schoolcraft Barred by FINRA Amid Investigation Into Personal Loans From Customers

• October 14, 2026
• Mass Mutual Investor Services

 Michael Stephen Schoolcraft (CRD# 6375300) of South Elgin, Illinois, formerly with MML Investors Services, LLC, was permanently barred by FINRA, after he stopped cooperating with FINRA’s investigation into personal loans from customers.

Broker’s History

According to his FINRA BrokerCheck report and SEC IAPD report, Schoolcraft entered the industry in 2016. He was registered as a broker and investment adviser representative with MML Investors Services, LLC in Lisle, Illinois from May 2016 to May 2026. He is not currently registered.

FINRA Bar (July 13, 2026)

Schoolcraft consented to a Letter of Acceptance, Waiver and Consent without admitting or denying the findings. FINRA found that he refused to produce information and documents requested in its investigation into personal loans from customers. FINRA found that he initially cooperated with the investigation but then ceased doing so. The bar rests on his refusal to cooperate. FINRA made no finding about the loans themselves.

Applicable FINRA Rules and Legal Standards

FINRA Rule 3240 generally prohibits a registered person from borrowing money from a customer. Narrow exceptions require firm procedures permitting the arrangement and, in most cases, firm notice and approval. FINRA Rule 8210 requires associated persons to provide information and documents on request. A refusal violates Rule 8210 and FINRA Rule 2010 and typically results in a bar. Firms must reasonably supervise for red flags of customer loans under FINRA Rule 3110.

What This Means for Investors

A broker who borrows from customers may be in financial distress, and repayment often depends entirely on the broker. Customers of Schoolcraft who lent him money, or who made unexplained withdrawals at his suggestion, should document what they lent and what has been repaid. They may have claims for repayment, breach of fiduciary duty, and failure to supervise. Claims generally must be filed within six years under FINRA Rule 12206.

The Wolper Law Firm, P.A. represents investors throughout the country in securities arbitration and litigation, typically on a contingency fee basis. Matt Wolper, the firm’s managing principal, is a trial attorney who has handled more than 1,000 securities cases. If you lent money to or did business with Michael Schoolcraft, contact us for a free consultation at 800.931.8452 or mwolper@wolperlawfirm.com.