CRC Counseling Skills & Ethics 2

Question 1

A retirement counselor discovers a client has been making financial decisions based on advice from an unqualified family member. What is the most appropriate first step?

Accepted Answer

Assess the impact of the decisions and educate the client on sound retirement planning principles

Answer

The counselor should first assess any financial damage and then educate the client, respecting client autonomy while fulfilling the duty to inform.

Question 2

Which ethical principle requires a retirement counselor to act in the client's best interest, even when it conflicts with the counselor's own financial gain?

Accepted Answer

Fiduciary duty

Answer

Fiduciary duty obligates the counselor to prioritize the client's interests above their own, especially in financial matters.

Question 3

During a group retirement planning seminar, a participant discloses sensitive personal financial information. How should the counselor handle this?

Accepted Answer

Immediately redirect the discussion to protect the participant's privacy

Answer

In group settings, the counselor must redirect to protect individual privacy and maintain confidentiality boundaries.

Question 4

A client insists on a retirement strategy the counselor believes is too risky given the client's age and health. What should the counselor do?

Accepted Answer

Clearly explain the risks, document the counselor's recommendation, and respect the client's informed decision

Answer

Counselors must provide informed guidance and document their recommendations, but ultimately respect a competent client's autonomous decisions.

Question 5

What does the term 'dual relationship' mean in the context of retirement counseling ethics?

Accepted Answer

Having both a professional and personal relationship with a client simultaneously

Answer

A dual relationship occurs when a counselor has a professional role and another type of relationship (e.g., friend, family) with the same client, creating potential conflicts.

(CRC) Certified Retirement Counselor Practice Test

(CRC) Certified Retirement Counselor Practice Test

CRC Counseling Skills & Ethics 2