Certified Financial Planner (CFP) Practice Exam 2025 – All-in-One Study Guide for Exam Success!

A Certified Financial Planner (CFP®) professional is bound by ethical standards and regulations that prioritize client confidentiality. The situation where a CFP® professional is not allowed to disclose client information is when sharing it with a compliance officer of a previous broker/dealer. This is because client information shared in confidence does not have consent for release to outside parties unless permitted by the client.

In contrast, sharing information within their own firm or with related service providers is often permissible as long as there are established protocols that maintain confidentiality and protect client interests. Similarly, when defending against a civil claim, a CFP® professional may need to disclose relevant information—typically while still adhering to confidentiality principles. Furthermore, providing information to other professional advisors is also acceptable, as long as it serves the client's best interest and with appropriate consent. Thus, option B correctly identifies a situation where disclosure is not allowed, as it does not align with the principles of client confidentiality and consent inherent in a CFP® professional's responsibilities.