Certified Fraud Examiner Certification

Certified fraud examiners (CFEs) are experts at evaluating complex financial transactions to uncover evidence of fraud. CFEs apply investigative techniques to identify and stop fraud. They also design anti-fraud programs.

Offered by the Association of Certified Fraud Examiners (ACFE), the CFE credential recognizes expertise in detecting, preventing, and investigating fraud. Nearly 60,000 CFEs around the globe work in diverse anti-fraud roles in various industries, including financial services and law enforcement.

Wondering how you can earn certified fraud examiner certification? Discover eligibility requirements, exam structure, and more in this detailed guide.

Before beginning the certification process, each candidate must qualify to take the CFE exam. Eligibility requirements for the CFE exam are:

Members qualify for discounted training and exam prep, as well as a members-only job board and career center.

The ACFE uses an eligibility point system for CFEs. Candidates need 40 points to sit for the exam and 50 points to complete the credential. The association awards points for education and experience. Those who meet the eligibility requirements for the CFE exam can schedule the first part of the four-part exam.

Most CFEs hold bachelor’s degrees. While they do not need to possess a degree in a specific major, completing a bachelor’s program in accounting or forensic accounting can provide the strongest preparation for the credential.

A bachelor’s degree meets the 40-point requirement to sit for the exam. People with master’s degrees receive an additional five points. Candidates without bachelor’s degrees can receive 10 points for each year of full-time education. Only accredited institutions meet the education requirement.

Learn More About Recommended Education

CFEs need at least two years of fraud-related work experience to complete their certification requirements. Candidates can meet this requirement by working in accounting and auditing, criminology or sociology, fraud investigation, or loss prevention. Other experience that involves detecting, investigating, or deterring fraud may also qualify.

Professional experience can also count toward the 40 points needed to take the CFE exam and the 50-point minimum for certification.

The CFE exam assesses candidates’ understanding of fraud prevention, investigative practice, and fraudulent transactions. This closed-book and closed-notes exam requires passing scores on four sections:

Each section contains 100 multiple-choice questions, and test-takers have two hours to complete each part. The ACFE recommends taking only one or two sections at a time. Test-takers have 60 days to pass all four parts.

Test-takers can choose from two options to take the exam:

CFE exam content changes every 5-7 years. The ACFE regularly updates the exam to align with the knowledge and skills that CFEs use in the workforce. The CFE Exam Content Outline offers a blueprint for the exam.

Test-takers must earn a 75% on each section of the CFE exam to pass, which amounts to 75 correct responses in each 100-question section.

After completing a section, each participant receives a preliminary score report assessment within 24 hours. This evaluation lists the total score on the exam and whether the test-taker passed or failed.

The score report also includes performance feedback that provides on the test-taker’s strongest and weakest topics in that section. The ACFE does not provide information about specific correct or wrong answers to preserve the integrity of the exam.

Once candidates pass all four sections, they can apply for the CFE credential. Exam scores remain valid for five years.

Before registering for the CFE exam, each candidate must submit an application. The CFE exam application demonstrates that applicants are ACFE members who have qualifying education and/or experience to sit for the exam.

After receiving an approved application from the ACFE, candidates can schedule the first section of their exam. The approved exam application includes an eligibility number and connects with Prometric.

Test-takers complete the same process for each section. While candidates do not have to schedule their exam appointments at the same time, they have 60 days to complete the four-section exam and can complete each section in any order. The ACFE strongly recommends scheduling each part at least 30 days in advance.

The CFE exam includes a $475 fee, which covers a first attempt on each of the four sections. Candidates who need to retake a section pay $110 per part.

Test-takers can reschedule or cancel exam appointments 30 or more days before the scheduled exam. Prometric charges a $35 fee for changes made 3-29 days before the exam. The ACFE charges a $50 rescheduling fee for cancellations within three days of the exam and for no-shows.

Begin your preparation for the CFE exam early to maximize your chances of passing on your first attempt. If you’re still in your accounting program, take detailed notes. You can also take notes on the Fraud Examiners Manual to jump-start your test prep. Here are some of the most effective tips to study for the CFE exam.

Certified fraud examiners must complete continuing professional education (CPE) requirements to maintain their credentials. The ACFE requires at least 20 CPE credits per year. A minimum of 10 credits must relate to the detection and deterrence of fraud, while at least two must relate to ethics.

CFEs certify their CPE compliance annually, typically during the month their ACFE membership renews. The ACFE conducts compliance audits to ensure that CFEs meet these requirements. CFEs must maintain records of their CPE credits for three years.

Fraud examiners may benefit from pursuing additional accounting certifications. For example, becoming a certified public accountant (CPA) can broaden career opportunities for CFEs, while earning the certified internal auditor (CIA) credential can benefit CFEs who work in auditing roles. Many professional associations offer accounting certifications.

Keep in mind that pursuing another certification often requires taking additional exams, paying certification fees, and maintaining another credential. However, earning additional certifications can help candidates meet CFE credential requirements. CFEs can also count eligible certifications toward their continuing professional education.

Learn More About Optional Certifications

Accounting wasn’t something I was always interested in. During college, I switched from economics to accounting. I had some doubts about a career path and job title with a degree in economics, but that was not the case with accounting, which has several well established programs and paths. While few organizations have an economist on their payroll, almost every business has an accountant. I liked that.

While I was in college, the accounting program was considered one of the more rigorous programs, which attracted me to it. I liked the idea, the challenge. I didn’t want to look back at my college experience and regret that I hadn’t tried something harder.

I didn’t know it at the time, but I was setting myself up for a lifetime of learning. To keep my license, I am required to take continuing professional education every year. I truly enjoy taking classes now and learning new things — there’s always something new to explore.

The CFE credential is awarded to individuals who have some experience in fraud prevention and detection. This credential also has educational requirements and an exam, much like the CPA exam. The ACFE is an international organization that administers the exam, in addition to supporting and regulating the CFE members.

CFEs work in many industries, including accounting, government, loss prevention, corporate investigations, and private investigations. Some members work to prevent fraud or reduce fraud losses. Other members concentrate on conducting investigations surrounding cases of fraud, waste, or abuse.

An accounting student may find fraud examination interesting for its variety of cases. In my career, I’ve had cases of employee theft where a fellow accountant steals money from a corporation and tries to hide it. I have had cases where business owners have deleted financial transactions to make their finances look better.

I’ve had cases where an individual tries to hide assets from their spouse during a divorce. Many fraud cases contain a financial element. Having a financial background and an accounting education helps when someone is “cooking the books.”

The ACFE offers classes and reading materials to prepare candidates for the exam. I chose the self-study route. It covers quite a lot of material, so I decided to set aside a few hours each weekend for about six months to study for the exam.

As I recall, I would go to the library or a local coffee shop, take test questions, and highlight materials from the ACFE’s Fraud Examiners Manual. It worked — I passed the exam the first time.

My advice to anyone interested in becoming a CFE is simply to get started. Make a plan. I think a really good plan would be to use the ACFE’s online study program and connect with other students studying for the exam. There are several online communities and ongoing discussion groups available to anyone interested in the credential.

Be realistic about the amount of time it will take to learn the material and sit for the exam. It’s likely to take several months to cover the materials and become familiar with the concepts.

When I got my degree, the accounting program was a four-year program. I graduated with a bachelor’s degree. Generally, to sit for the CPA exam now, a candidate has to complete a five-year accounting program at an accredited school.

Accounting isn’t getting any easier. There are more and more accounting standards all the time, as tax laws are written and rewritten every year. If you can find a mentor in a specific area, latch on to him or her. You can learn a lot about the profession by talking to people doing the work you are most interested in.

I have never been underemployed, and I have always enjoyed the diversity of the work. Being an accountant is not just a desk job. I get to travel to observe a client’s inventory. I interview people and observe, inspect, and test systems and data at clients’ offices. I work with attorneys to build a bulletproof case when there’s fraud. No two days are alike, and I enjoy that.