CFP Board Requests Public Comments on Proposed Revised Procedural Rules
On March 26, CFP Board released for public comment proposed revised Procedural Rules for those seeking CFP® certification. CFP Board upholds its Fitness Standards through the peer-review process set forth in the Procedural Rules. The proposal improves CFP Board’s existing process for evaluating the ethical fitness of candidates for CFP® certification and former CFP® professionals who had a single bankruptcy or multiple misdemeanor convictions involving an alcohol and/or drug-related offense.
As part of this revision process, we actively seek input from a wide range of stakeholders, including practitioners, candidates, firms, membership organizations and the public. The deadline to submit comments is Friday, April 25, 2025.
The Board of Directors of CFP Board is dedicated to advancing the profession and fostering public trust by setting, administering and upholding rigorous certification standards. The enforcement process ensures that CFP® certification remains relevant and valuable as the financial planning profession continues to evolve.
Proposed Revised Procedural Rules
Background:
CFP Board requires an applicant to demonstrate ethical fitness for CFP® certification. In assessing ethical fitness, CFP Board evaluates information that may reveal an applicant’s prior misconduct. CFP Board Enforcement Counsel has authority to determine whether an applicant has engaged in (a) conduct that presents an absolute bar to certification, (b) conduct that renders an applicant currently ineligible for certification or (c) conduct that requires the applicant to file a “Petition for Fitness” asking the Disciplinary and Ethics Commission (Commission) to issue an order finding ethical fitness for certification.
The Commission has experience addressing Petitions for Fitness that involve single bankruptcies and multiple misdemeanor convictions involving a second (or more) alcohol and/or drug-related offense that occurred some time ago. This experience enables CFP Board to offer an expedited mechanism for assessing the fitness of candidates who have this background.
Proposed New Rules:
CFP Board proposes to modify Article 5 of the Procedural Rules to provide an expedited mechanism for assessing the fitness of candidates with a single bankruptcy filing and multiple misdemeanor convictions involving a second (or more) alcohol and/or drug-related offense that occurred some time ago. A candidate who had a single bankruptcy in the past (but no longer is demonstrating an inability to manage their financial affairs) may attain CFP® certification with a Caution or a Public Notice, depending on how long ago the bankruptcy occurred and whether the individual was providing professional services at the time of the bankruptcy. Similarly, a candidate with multiple misdemeanor convictions involving an alcohol and/or drug-related offense may attain CFP® certification with a Caution if the most recent alcohol and/or drug-related offense was seven or more years ago. Read the revised language and submit a comment here.
The proposed revisions result in outcomes that are similar to what results under CFP Board’s existing practices. Consequently, the adoption of the proposed revised Procedural Rules will maintain the integrity of CFP® certification while reducing the volume of cases that the Commission will be required to handle.
Submit a Comment
CFP Board welcomes all input on the proposed revised Procedural Rules, which are central to enforcement of CFP Board’s Code of Ethics and Standards of Conduct.
CFP Board will post all comments on the CFP.net website with the name of the commenter and the date submitted. The deadline for comments is Friday, April 25, 2025.
CFP Board will review comments and determine what changes, if any, to make to the proposed revised Procedural Rules.