CFP Cheat Sheet 2026

The 30 highest-yield CFP facts, distilled from real exam questions. Print it, save it as a PDF, or study it here — free, no sign-up.

1. Which U.S. regulation requires lenders to disclose the annual percentage rate (APR) and key loan terms to borrowers? → Truth in Lending Act (TILA) / Regulation Z
2. What role does feedback play in CFP professional development? → Identifying strengths and improvement areas to guide growth
3. Which approach best describes 'privacy by design' in fintech product development? → Embedding data privacy controls into the system architecture from the start
4. What is cryptocurrency in Fintech? → A digital form of currency without physical backing
5. Why is decentralization important in blockchain for Fintech? → It prevents unauthorized access and centralization of power
6. What differentiates quantitative from qualitative data in CFP? → Quantitative is numerical; qualitative is descriptive and categorical
7. Why is written communication important in CFP practice? → It creates permanent records and ensures clarity for future reference
8. What is budget variance analysis in CFP financial management? → Comparing actual spending against budgeted amounts to explain differences
9. How should CFP professionals handle difficult conversations? → Prepare key points, remain calm, focus on facts, seek solutions
10. What is the role of data analytics in regulatory compliance? → To monitor compliance and detect risks
11. Which API architecture style is most widely adopted in open banking implementations? → RESTful APIs using HTTP methods
12. Why is regular review important in CFP risk management? → Conditions change and new risks emerge requiring updates
13. How do regulations differ from standards in CFP practice? → Regulations are legally binding; standards are typically voluntary
14. Why is AML (Anti-Money Laundering) important in Fintech? → It helps prevent illicit financial activities
15. Which U.S. law requires financial institutions to notify customers and regulators promptly after a data breach? → GLBA Safeguards Rule (FTC breach notification)
16. What is the primary goal of regulatory compliance in CFP practice? → Ensuring adherence to laws and standards governing professional practice
17. What is financial forecasting in CFP practice? → Predicting future conditions based on historical data and trends
18. What is the purpose of data analysis in CFP practice? → Transforming raw data into insights for informed decision-making
19. What does data integrity mean in CFP practice? → Accuracy, consistency, and reliability of data throughout its lifecycle
20. What is a communication plan in CFP project management? → Defining what information is shared, with whom, when, and how
21. What is an internal control in CFP financial management? → A process providing assurance about financial reporting reliability
22. Which security protocol is required to protect data in transit between open banking APIs and third-party providers? → TLS 1.2 or higher (preferably TLS 1.3)
23. What does 'open banking' enable for lending fintech platforms in the U.S.? → Banks to share customer data with third parties via APIs with customer consent
24. What type of attack involves cybercriminals intercepting communication between a fintech app and its server to steal credentials? → Man-in-the-middle (MITM) attack
25. What is the role of Fintech in improving financial inclusion? → It provides affordable and accessible financial services
26. What are the consequences of failing to comply with Fintech regulations? → Legal penalties and loss of trust
27. Which payment card data security standard must fintech companies handling card transactions comply with? → PCI DSS
28. Which security framework is most widely adopted by U.S. financial institutions to manage cybersecurity risk? → NIST Cybersecurity Framework
29. What does ROI measure in CFP financial analysis? → Gain or loss relative to the investment amount
30. What are consequences of non-compliance in CFP practice? → Fines, license revocation, legal liability, and reputation damage