FICEP EXAM 2024|ACTUAL EXAM QUESTIONS WITH
ACCURATE ANSWERS|EXPERT VERIFIED FOR
GUARANTEED PASS|LATEST UPDATE
Assist members to identify needs and wants - CORRECT ANSWER - Vital Counselor Skill - Help
members excessive and unnecessary spending.
Explore money management skills - CORRECT ANSWER - Vital Counselor Skill - Help members with
basic skills and refer them to classes or agencies that can also help.
Assemble a complete financial picture - CORRECT ANSWER - Vital Counselor Skill - Using creativity
to persuade members to share all details of their financial situation.
Develop a workable budget - CORRECT ANSWER - Vital Counselor Skill - Help members to create a
plan to manage spending, pay down debt, and build savings.
Gain agreement on budget and money - CORRECT ANSWER - Vital Counselor Skill - Member must be
willing to implement their workable budget.
Suggest workable approaches and potential solutions - CORRECT ANSWER - Vital Counselor Skill -
Offer members options to help them succeed.
Motivate members to implement spending plan - CORRECT ANSWER - Vital Counselor Skill - Remind
members why they are making such changes. Continually direct members towards positive results of
personal changes to keep them engaged.
Combine optimism, enthusiasm, and realism - CORRECT ANSWER - Vital Counselor Skill - Urge
members to change their financial situation and acknowledge the reality of their situations.
Assess progress - CORRECT ANSWER - Vital Counselor Skill - Helps members recognize their progress
to date as a way to encourage them to continue the hard work required in following a spending and saving
plan.
,Offer confidentiality - CORRECT ANSWER - Vital Counselor Skill - Respect members trust by never
sharing information with others.
Adjust plans as needed - CORRECT ANSWER - Vital Counselor Skill - Help member make any needed
budget adjustments.
Make referrals when needed - CORRECT ANSWER - Vital Counselor Skill - Make referrals for anything
beyond your scope of practice.
Offer hope - CORRECT ANSWER - Vital Counselor Skill - Offer hope even if a member situation is dire.
Pacing and blending - CORRECT ANSWER - Allows counselors to adjust their demeanor to match
members and make physical changes to achieve these adjustments.
Pacing - CORRECT ANSWER - Used to create a feeling of connection with a member by matching
physical characteristics, such as posture, energy level, and unconscious movements.
Blending - CORRECT ANSWER - Used to display patterns that match a member's such as speech rate,
tone, vocabulary, and adjusting appearance.
Essential obligations - CORRECT ANSWER - Needs member must fulfill Can be used to weigh
decisions within a spending plan, to decide if a purchase is suitable, or if it is necessary.
Force Field Analysis - CORRECT ANSWER - a method used to view all the forces in favor of or against
a plan so a decision can be made. Begins with stating a problem.
cost-benefit analysis - CORRECT ANSWER - weighing costs and benefits of two possible solutions can
help members determine if solutions are workable and beneficial.
Steps in counseling process- CORRECT ANSWER -
1. Collect member data
2. Establish clear financial goals and objectives
3. analyze data
,4. Develop spending, debt repayment, and action plans
5. Implement plan
6. Monitor, evaluate, and adjust plan as needed
Debt repayment plan - CORRECT ANSWER - Assigns a set amount to repaying debit each week or
month. Amounts are reallocated as debts are paid off.
Action plan - CORRECT ANSWER - covers short and long term steps a member will take to balance
spending and saving.
Create a list of all creditors - CORRECT ANSWER - First step in creating spending plan: Combines
ongoing monthly expenses and debts of everyone they owe.
Obtain all income information - CORRECT ANSWER - Second step in creating a spending plan
Verify accuracy of income and expenses - CORRECT ANSWER - Third step in creating a spending plan:
asking questions!
Review cash flow - CORRECT ANSWER - Fourth step in creating a spending plan: Review and suggest
possible areas of improvement.
Divide budget into monthly cycles - CORRECT ANSWER - Fifth step in creating a spending plan:
Requires diving annual and quarterly expenses into monthly amounts to be places in a set-aside fund.
Cash flow, credit report, credit score, debt ratio, net worth, 5 C's of credit. - CORRECT ANSWER - Steps
to analyze members credit
What are the 5 C's of credit? CORRECT ANSWER -character, capacity, capital, collateral, conditions
Predicted cost increases, seasonal variations, home repair allowances, car repair allowances, children's
clothing, school expenses - CORRECT ANSWER - Common expense issues
Order or steps to reduce debt- CORRECT ANSWER -
, 1. stop creating debit
2. analyze debt
3. Refinance/Consolidate
4. Use credit wisely
5. Set goals
6. Develop a plan
7. implement and monitor plan
Pay more on principal - CORRECT ANSWER - increasing monthly payment beyond the minimum
required by the credit issuer.
Roll up payments - CORRECT ANSWER - Member dedicates a specific amount to repaying debt. The
amount does not change as debt is repaid, but will be reallocated amount remaining debts.
Advantages to buying rather than leasing - CORRECT ANSWER - Owning the car, payments end at pay
off, can sell car, not locked in contract
Advantages to leasing rather than buying - CORRECT ANSWER - Lower payments, lower up front costs,
option to use down payment, a factory warranty
Disadvantages to leasing rather than buying - CORRECT ANSWER - Early termination fee, higher
insurance, mileage may be restricted, fees for excessive wear and tear, lack of equity, higher credit
requirements, lease contract
What can I afford to buy and maintain? - CORRECT ANSWER - Questions to ask before buying a
vehicle - Includes purchase price, finance charges, gas, insurance, license plate, and maintenance costs.
How will I use the vehicle? - CORRECT ANSWER - Questions to ask before buying a vehicle - Depends
on location and use.
How long do I plan to keep the vehicle? - CORRECT ANSWER - Questions to ask before buying a
vehicle - How long do I plan to keep the vehicle? (Just remember this one).
