CeMAP or CeFA: Which Should You Go For?
The main difference between the Certificate in Mortgage Advice and Practice (CeMAP) and the Certificate in Financial Advice (CeFA) is their focus: CeMAP is specifically geared towards mortgage advice, while CeFA covers a broader range of financial advice topics, including savings, investments, and pensions.
One common source of confusion is that CeMAP 1 and CeFA 1 share the same syllabus and exam. This overlap can make it seem like the two qualifications are more similar than they are. However, after CeMAP 1 and CeFA 1, the paths diverge significantly. CeMAP 2 and 3 concentrate on mortgage advice and related products, whereas CeFA 2, 3, and 4 cover a broader range of financial services, including investments and pensions.
What is CeMAP?
CeMAP, awarded by the London Institute of Banking & Finance (LIBF), is the benchmark qualification for mortgage advisers in the UK. It focuses on providing comprehensive knowledge and understanding of mortgage advice and practice, including the regulatory environment and different types of mortgage products. CeMAP consists of three modules, which can typically be completed within 6 to 12 months, depending on the study method chosen.
- Modules: The qualification covers UK financial regulation, mortgage law, and mortgage practice.
- Career Path: Primarily for those aiming to become mortgage advisers or mortgage brokers.
- Exam Costs: £645 for all three modules.
What is CeFA?
CeFA, awarded by the Chartered Insurance Institute (CII), provides a broader foundation in financial advice. This qualification is ideal for those who wish to advise clients on a range of financial products, not just mortgages. CeFA covers key financial areas such as investments, savings, and pensions.
- Modules: The qualification includes topics on financial services regulation, investments, savings, and pensions.
- Career Path: Suitable for those aiming to become financial advisers, covering a broader spectrum of financial products beyond mortgages.
- Exam Costs: Varies by provider, but typically higher than CeMAP due to the broader scope.
Comparison of CeMAP and CeFA
Focus:
- CeMAP specialises in mortgage advice.
- CeFA covers a wide range of financial advice including investments and pensions.
Career Opportunities:
- CeMAP leads primarily to roles as mortgage advisers or brokers.
- CeFA provides opportunities in broader financial advisory roles, including investments and savings advice.
Time and Cost:
- CeMAP can typically be completed in 6 to 12 months with a total exam cost of £645.
- CeFA may take longer and costs can be higher due to the broader scope and additional modules.
Which Should You Go For?
If You’re New to the Industry
If you’re starting your career and have a strong interest in mortgage advice, CeMAP might be the best fit. It’s a focused qualification that will help you quickly enter the mortgage advice industry.
If You Want a Broad Financial Advisory Role
If you prefer a broader role advising on a range of financial products, CeFA is a better choice. It offers a comprehensive foundation in various financial services, making you versatile in the financial advisory field.
If You Already Work in Financial Services
If you’re already working in financial services and want to specialise in mortgage advice, CeMAP is the way to go. Conversely, if you wish to expand your advisory capabilities to include investments and pensions, CeFA will be more suitable.
If You’re Looking for Quick Entry
For those looking for the quickest route to a professional qualification and a job in financial services, CeMAP’s more focused curriculum and shorter completion time might be more appealing.
A Practical Tip If you’re unsure whether to pursue a career as a mortgage advisor or a financial advisor, consider taking CeMAP 1 first. Since CeMAP 1 and CeFA 1 are identical, you can switch to CeFA later without losing any progress. This approach allows you to explore both fields before committing to one.
