What's happening
This bill requires financial planners working with elderly New Yorkers to be certified by a nationally recognized accreditation agency.
Why it matters
Creates a legal definition of "financial planner". that covers not just investment advice, but also tax, retirement, estate, and risk management services—meaning a wide range of professionals will be newly regulated when working with elderly clients.
Expands consumer protection for seniors. by ensuring that those selling or marketing retirement products and financial services to elderly New Yorkers must meet rigorous educational, ethical, and exam standards from recognized certifying bodies.
Places enforcement responsibility on the state’s financial regulator,. requiring the superintendent of financial services to oversee which accreditation agencies are acceptable, likely leading to more standardized oversight and potentially fewer cases of fraud or elder financial abuse.
May increase trust and transparency. in financial planning for seniors, but could also limit who is able to offer these services (e.g., excluding those without certification), possibly affecting access and competition in the market for elderly clients.
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Financial planners serving elderly New Yorkers
Individuals, businesses and entities deriving any income or business from elderly state residents would have to meet educational, ethical and examination requirements for certification.
Elderly New York residents
Financial planners earning income or business from them would be subject to certification requirements covering services such as investment, tax, retirement and estate planning.
Department of Financial Services
The superintendent would have to issue implementing rules and determine which nationally recognized accreditation agencies are acceptable alternatives to the Certified Financial Planner Board of Standards.
Headline styles
Certify Elder Financial Planners
Plain English, a few words. Used as the page title.
Sponsors
1 Multi-sponsor
History
- Referred to banks
- Referred to banks
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
3762
2017-2018 Regular Sessions
IN ASSEMBLY
January 30, 2017
Introduced by M. of A. BICHOTTE -- read once and referred to the Committee on Banks
AN ACT to amend the elder law and the banking law, in relation to requiring financial planners working with the elderly to be certified financial planners
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The elder law is amended by adding a new section 219-a to read as follows:
§ 219-a. Financial planning sales, products and services sold or marketed to the elderly. 1. For the purposes of this section, the following terms shall have the following meanings:
(a) The term "elderly person" shall have the same meaning ascribed in section two hundred fourteen of this title.
(b) The term "financial planner" shall mean any individual, business or entity that sells, promotes or holds themselves out to sell or promote or provide investment planning, income tax planning, education planning, retirement planning, estate planning, risk management, and any other area with respect to the management of financial resources; including but not limited to 401(k)s, Individual Retirement Accounts (IRAs), Roth IRAs, SEP-IRAs, and IRA rollovers.
2. Financial planners who derive any income or business from elderly persons who are residents of New York state shall be required to become certified. Certification shall mean having fulfilled all educational, ethical and certification exam requirements set forth by the Certified Financial Planner Board of Standards, Incorporated or a nationally recognized accreditation agency acceptable to the superintendent of financial services.
§ 2. The banking law is amended by adding a new article 12-F to read as follows:
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01055-01-7
A. 3762 2
ARTICLE 12-F
FINANCIAL PLANNERS SELLING RETIREMENT PRODUCTS OR SERVICES TO THE
ELDERLY
Section 599-aa. Financial planning sales, products and services sold or
marketed to the elderly.
§ 599-aa. Financial planning sales, products and services sold or marketed to the elderly. 1. For the purposes of this section, the following terms shall have the following meanings:
(a) The term "elderly person" shall have the same meaning ascribed in section two hundred fourteen of the elder law.
(b) The term "financial planner" shall mean any individual, business or entity that sells, promotes or holds themselves out to sell or promote or provide investment planning, income tax planning, education planning, retirement planning, estate planning, risk management, and any other area with respect to the management of financial resources; including but not limited to 401(k)s, Individual Retirement Accounts (IRAs), Roth IRAs, SEP-IRAs, and IRA rollovers.
2. Financial planners who derive any income or business from elderly persons who are residents of New York state shall be required to become certified. Certification shall mean having fulfilled all educational, ethical, and certification exam requirements set forth by the Certified Financial Planner Board of Standards, Incorporated or a nationally recognized accreditation agency acceptable to the superintendent.
§ 3. This act shall take effect on the three hundred sixty-fifth day after it shall have become a law; provided, however, that, effective immediately, the superintendent of financial services shall promulgate any rules and regulations necessary for the implementation of this act on or before its effective date.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.