Exam (elaborations) CPFC -Certified Personal Financial Counselor

Annuities - ANSIns industry investment product. Holder deposits a sum of money with the insurance company and they in turn make monthly payments to the holder. Adverse Action Notice - ANSA notice informing one that credit, employment, insurance, or other benefits based on info in a credit report have been denied. Verbal pacing - ANSAdapt your counseling style to the clients' learning style. Net Worth - ANSThe total of one's financial assets minus their total financial liabilities Secured debt - ANSBacked by pledging an asset (collateral) as a guarantee the borrower will re-pay the money borrowed. Private Mortgage Insurance - ANS... Mortgage Insurance - ANSAn insurance policy that protects the lender in the event the borrower defaults on the mortgage. Credit Repair Organization Act - ANSProtect consumers from deceptive advertising by credit repair organizations Code of ethics - ANSIdentify an organization's expectations of its employees Fair Credit Reporting Act - ANSEnsure the accuracy, fairness, and privacy of information held by the credit bureaus. Ensure that co summers know what information is being distributed about them. Fair Debt Collections Practices Act - ANSFederal law prohibiting debt collectors from engaging in unfair, deceptive, or abusive practices. Truth in Lending Act - ANSA timely resolution of billing disputes. Max interest rates to be stated regarding variable loan contracts secured by one's home. Once an adjustable rate mortgage has been obtained, the consumer must get a copy of the Consumer Handbook on Adjustable Rate Mortgages, or a suitable substitute. Telephone Consumer Protection Act - ANSTelephone solicitations Process Goals - ANSDuring session remain nonjudgmental, establish trust Forms of communication - ANSNonverbal Verbal Non verbal Communication - ANSFacial expressions, bout language, use of personal space, visual aids Verbal Communication - ANSWords spoken, sounds we make, pitch, tone, inflection, pacing our words sound level Styles of Communicating - ANSCognitive Social Expressive Persuasive Cognitive communication - ANSExchange of factual info (gathering financial data) Social Communication - ANS"Break the ice" conversation. Topics neutral Expressive Communication - ANSHow you relay messages verbal or written by using body language or visual aids Persuasive Communication - ANSHow you can influence one's beliefs with ultimate goal of being a change of behavior in how client handles their finances. Reflective listening - ANSRepeating back clients words Non-reflective listening - ANSUse gestures such as nodding head