What's happening
This bill requires financial planners working with elderly New Yorkers to be certified by nationally recognized accreditation agencies.
Why it matters
Raises the professional standards for financial planners. By requiring certification from nationally recognized bodies, the bill aims to ensure that those advising elderly New Yorkers meet rigorous education, ethics, and testing requirements, potentially reducing the risk of financial mismanagement or exploitation.
Broadly defines who must be certified. The law covers not just traditional financial planners, but also any businesses or entities marketing or selling a wide array of financial products and services (including retirement accounts, tax planning, and estate planning) to seniors, casting a wide net for compliance.
Empowers oversight and regulation. By authorizing the state superintendent of financial services to approve acceptable accreditation agencies and issue regulations, the bill creates a mechanism for ongoing oversight and adaptation to changing industry standards, aiming to provide sustained consumer protection.
Targets a vulnerable population. Since elderly individuals are often targeted for financial scams or unsuitable products, this legislation is designed to add a layer of protection for a demographic that may be at higher risk of financial abuse.
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Who cares
Headline styles
Certify Elder Financial Planners
Plain English, a few words. Used as the page title.
Sponsors
3 Co-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
2727
2019-2020 Regular Sessions
IN ASSEMBLY
January 25, 2019
Introduced by M. of A. BICHOTTE, ORTIZ, D'URSO, RICHARDSON -- Multi- Sponsored by -- M. of A. WRIGHT -- 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.
LBD00047-01-9
A. 2727 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.