Other Projects & Case Studies

Diploma of Financial Counselling: Draft 1 Consultation Open

SkillsIQ, under the direction of the Client Services Industry Reference Committee (IRC), has undertaken a project to update the existing Diploma of Financial Counselling and three existing Financial Counselling (CHCFIN) Units of Competency and to develop two new Financial Counselling (CHCFIN) Units of Competency to ensure that financial counsellors have access to current skills and knowledge, in order to meet the current and future needs of the Financial Counselling industry.

SkillsIQ, under the direction of the Client Services Industry Reference Committee (IRC), has undertaken a project to update the existing Diploma of Financial Counselling and three existing Financial Counselling (CHCFIN) Units of Competency and to develop two new Financial Counselling (CHCFIN) Units of Competency to ensure that financial counsellors have access to current skills and knowledge, in order to meet the current and future needs of the Financial Counselling industry.

Background

The update of the nationally recognised existing Financial Counselling qualification, three existing Units of Competency and the development of two new Units of Competency packaged within the CHC Training Package has been commissioned by the Australian Industry and Skills Committee (AISC) under the direction of the Client Services IRC.

A Case for Change was submitted by the Client Services IRC in July 2021. It identified the key changes that have occurred in recent years in terms of the operating and regulatory environment of the financial counselling sector which have impacted the job role of financial counsellors. This presented a compelling need for an update. The IRC proposed that the CHC51115 Diploma of Financial Counselling qualification and three existing CHCFIN Units of Competency be updated, and that two new Units of Competency relating to financial counselling job roles be created.

This qualification was released in 2015 and, since then, there have been key changes in the sector and job role in terms of standards and protocols; new ideas and techniques; digital technologies; and terminology used within the discipline of financial counselling. The qualification therefore needs to reflect current industry practice and knowledge to equip existing and new workers to perform their job roles in an efficient and effective manner, providing individuals seeking financial counselling services with accurate information and advice in order to make critical financial decisions for their households and/or businesses.

To inform the update of the Diploma qualification, three existing Units of Competency and the development of two new Units of Competency, a Financial Counselling Technical Advisory Committee (TAC) comprised of stakeholders and subject matter experts from across Australia was formed. Formation of the TAC informed the identification and validation of the exact nature of the skills needs and knowledge requirements in the industry and the respective training package product update requirements.

As a result, the following developments have been proposed in the training package products that have been developed by the Financial Counselling TAC:

  • The qualification description has been updated to reflect current industry practice.

  • The list of core Units has been updated to better reflect the current skills and knowledge required by a financial counsellor.

  • The following two Units of Competency have been removed from the core of the Qualification:
          ◦ CHCADV005 Provide systems advocacy services
          ◦ CHCCSL003 Facilitate the counselling relationship and process.

  • The list of elective Units of Competency has been updated to include the current versions, as published on www.training.gov.au.

  • The packaging rules remain the same, with the requirement that 17 Units need to be completed, of which:
         ◦ 14 are core Units and
         ◦ three are elective Units.

  • The following are the three existing Financial Counselling Units of Competency which have been updated by the Financial Counselling TAC:
         ◦ CHCFIN001 Facilitate the financial counselling process
         ◦ CHCFIN002 Identify and apply technical information to assist clients with financial issues
         ◦ CHCFIN003 Develop and use financial counselling tools and techniques.

  • The following three updated Units are included as core units in the qualification:
         ◦ CHCFIN006 Establish the financial counselling relationship
         ◦ CHCFIN007 Provide counselling, advice and represent the client
         ◦ CHCFIN008 Apply professional practice in financial counselling.

  • The following two new Financial Counselling Units of Competency have been developed by the Financial Counselling TAC to reflect the new skills and knowledge required by financial counsellors and have been included as core units in the qualification:
        ◦ CHCFIN009 Provide financial counselling within a social justice framework
        ◦ CHCFIN010 Apply basic concepts of small business to financial counselling.
  • To take forward training package product update work, the Financial Counselling TAC and the Client Services IRC will subsequently review and confirm the changes required for the development of Draft 2, based on feedback received from the first round of consultation.

        Project Governance

        The Client Services IRC is comprised of a number of key expert stakeholders within the industry, as follows:



        The Financial Counselling TAC is comprised of a number of key subject matter expert stakeholders within the industry, as follows:

        Project Status: Draft 1 Consultation Open 

        Consultation on Draft 1 will start on Thursday, 14 October and close at 5.00pm AEDT on Thursday, 11 November 2021.

        The Draft 1 consultation period will seek feedback on one Qualification and five Units of Competency:

        • CHC51122 Diploma of Financial Counselling
        • CHCFIN006 Establish the financial counselling relationship
        • CHCFIN007 Provide counselling, advice and represent the client
        • CHCFIN008 Apply professional practice in financial counselling
        • CHCFIN009 Provide financial counselling within a social justice framework
        • CHCFIN010 Apply basic concepts of small business to financial counselling.

        • Please click here to access Draft 1 documents, including a Consultation Guide
          .

          Consultation Activities

          A series of webinars will be held together with access to the SkillsIQ Online Feedback Forum page. Please click on the links below to register for a webinar.

          Webinars:
                               Date                                                   Time (AEDT)

          Webinar 1: Thursday, 21 October 2021           2:00pm–3:00pm
          Webinar 2: Wednesday, 27 October 2021       1:00pm–2:00pm
          Webinar 3: Wednesday, 3 November 2021     2:00pm–3:00pm
          Webinar 4: Wednesday, 10 November 2021  11:30am–12:30pm

          Project Timings



          Following the close of the consultation period, feedback received will be collated and evaluated. This feedback will inform the development of Draft 2, which will be made publicly available for validation prior to the submission for endorsement.

          Further information

           For further information, please contact Devika Mudaliar on 0438 043 186 or via email at devika.mudaliar@skillsiq.com.au.