Compliance for
Financial Advisors
Habits is SOC 2 Type II certified. Here’s everything your compliance department needs to know about how we operate, protect data, and maintain platform standards.
SOC 2 Type II
Certified
Habits has achieved SOC 2 Type II certification - an independent, third-party audit of our security controls, data handling practices, and operational processes. This is the gold standard for SaaS platforms handling sensitive financial and personal data.
Unlike SOC 2 Type I, which only verifies that controls exist at a single point in time, SOC 2 Type II confirms that our controls operated effectively over an extended audit period. That means continuous, verified protection - not a one-time snapshot.
Security
Systems are protected against unauthorized access, both physical and logical. Our controls cover access management, encryption, network security, and incident response.
Availability
The platform is available for operation and use as agreed. We maintain uptime commitments and monitor system performance continuously to ensure advisors and consumers have reliable access.
Confidentiality
Information designated as confidential is protected as committed. This includes advisor data, consumer data, and any financial information processed through the platform.
How Habits Operates
Habits is compliant with all SEC marketing rules and other applicable regulations. These standards protect both advisors and consumers on the platform.
What is Habits?
Habits is a marketplace where high-earning consumers connect with financial advisors. Our platform serves a dual audience: financial advisors looking to grow their practice, and high-income individuals actively seeking their first financial advisor relationship.
How Advisors Join
Advisors subscribe directly to the platform. Upon payment, a standard background check is run within 48 hours. Advisors are fully refunded if any issues arise during this process. Once cleared, advisors complete profile setup and begin receiving matched prospects based on their stated criteria.
The Marketing Rule
Our subscription agreements do not include guarantees of meetings, or any specific outcomes. Advisors pay a flat subscription for platform access. We do not sell leads or split revenue. What the platform provides is the opportunity for introductions and connections - whether a matched prospect books time with an advisor, moves forward, or becomes a client is entirely outside what Habits controls or guarantees.
Standardized Pricing
Our flat fee subscriptions are completely standardized. Advisors cannot pay to promote or prioritize their profile above others on the platform. All matching is algorithmic and based on criteria compatibility, not subscription tier or additional fees.
No Ranking or Reviews
Habits welcomes client testimonials and feedback, but our platform does not include ranking scores or review systems for advisors. This prevents pay-to-play dynamics and ensures every advisor on the platform is presented equitably to matched consumers.
Prospect Engagement
Consumer connections are made through provided calendar links, ensuring a structured, professional introduction process. Advisors and consumers connect directly through scheduled meetings - Habits does not facilitate informal or unstructured contact.
Every Advisor is Background Checked
To protect our consumer community, every advisor who joins Habits undergoes a background check before being matched with any prospect. The purpose is straightforward: we need to be confident that the advisors on our platform are people we’d be comfortable introducing to our users.
This includes a review of the advisor’s Form U4 (FINRA/CRD registration) for any disciplinary history, customer complaints, regulatory actions, or material disclosures that would give us reason for concern. Advisors with significant unresolved disclosures on their U4 will not be approved for the platform.
Subscription activated
Advisor completes payment and receives an immediate confirmation email with login details.
Background check initiated (within 48 hours)
We review the advisor’s Form U4 (FINRA/CRD registration) for disciplinary history, customer complaints, and material disclosures, alongside a standard identity and public records check.
Cleared and go live
Once cleared, the advisor’s profile goes live and they begin receiving matched prospects based on their stated criteria and matchmaking configuration.
Refund if issues arise
If the background check surfaces any disqualifying issues, the advisor is fully refunded. No partial fees, no ambiguity.
How We Handle Your Data
Consumer and advisor data is stored, processed, and protected in accordance with our SOC 2 Type II certified security controls and applicable privacy law.
Data Storage
All consumer and advisor data is stored on encrypted, access-controlled infrastructure. Data at rest is encrypted using AES-256. We do not store sensitive financial account data or investment portfolios on our platform.
Data Processing
Data is processed solely for the purpose of facilitating matches between consumers and advisors. We do not sell consumer data to third parties. Matching is algorithmic and based on stated preferences - not manual review of personal financial details.
Access Controls
Platform access is controlled through role-based permissions. Advisors see only the consumer profiles matched to them. Consumers control the information shared in their profile. Internal access to user data is strictly limited and logged.
Incident Response
We maintain a formal incident response plan that is tested and reviewed regularly as part of our SOC 2 obligations. In the event of a data incident, affected parties are notified in accordance with applicable law.
Third-Party Vendors
We vet and contractually bind all third-party service providers who handle Habits data to equivalent security standards. This includes our payment processor, background check provider, and cloud infrastructure partners.
Privacy Policy
Our full Privacy Policy details what data we collect, how it’s used, how long it’s retained, and how users can request deletion or correction. The Privacy Policy is accessible from every page of the platform.
Disclaimers
The following disclosures are required by applicable regulation and are provided for full transparency to platform users, advisors, and their compliance departments.
Habits, Inc. helps prospective investors find third-party investment advisory services. Habits, Inc. does not recommend the selection or retention of any adviser. Habits, Inc. provides options for the user to select based on user responses and preferences. In no event shall Habits, Inc.’s providing of a name constitute a recommendation or opinion as to the quality or appropriateness of the investment adviser or their services.
Investment advisers that appear on this Website pay a fee to Habits, Inc. The contents of this Website are for informational purposes only and are not intended to serve as the basis for any financial decisions. Information contained on this Website should not be construed as personalized investment advice or legal advice. Use of this Website does not create a professional relationship between the user and Habits, Inc.
Third-party links and resources are provided for convenience only. Habits, Inc. does not recommend or endorse the contents of the third-party sites and is not responsible for the accuracy, legality, or content of any third-party site.
To maintain a verified listing on this Website or Application, a financial firm or financial professional must pay a subscription fee to Habits Inc. Habits Inc. is not a client of any firm or advisor listed on this Application. Fees are not specifically payable in consideration of any “endorsement”.
Habits Inc. “endorsements” are conferred based on standardized and automated factors without regard to any financial firm’s compensation to Habits Inc. However, the compensation paid by a financial firm or financial professional to Habits Inc. creates a material conflict of interest of which prospective clients of a financial firm should be aware.
Habits, Inc. does not provide and does not intend to provide investment or legal advice through this Website. Information contained on this Website is for informational and educational purposes only. Third-party links and resources are provided for your convenience, and have not been independently verified by Habits, Inc.
Habits, Inc. is not responsible for the accuracy or viability of the information or services offered through third parties. Inclusion of links to third-party content is not an endorsement by Habits, Inc. of such content or services. Use your discretion. Habits, Inc. does not manage client funds or hold custody of assets. We help users connect with financial advisors.
Common Questions
Answers to the questions we hear most from advisor compliance departments and enterprise RIA firms.
Need more detail? Contact us and we’ll walk through your specific requirements.
Yes. Habits has achieved SOC 2 Type II certification, which involves an independent third-party audit of our security controls, data handling procedures, and operational processes over an extended review period. This certification covers the Security, Availability, and Confidentiality trust service criteria. If your compliance department needs a copy of our SOC 2 report or attestation letter, please contact us.
A standard background check is run on every advisor within 48 hours of subscription payment. The check covers identity verification, regulatory history, and public records. If any disqualifying issues surface, the advisor is fully refunded - no partial fees. Advisors can begin onboarding and profile setup while the check is in progress, but will not be matched with consumers until clearance is confirmed.
Yes. Our subscription agreements do not include guarantees of leads or introductions, and we do not split revenue or sell leads. Advisors pay a standardized flat fee for platform access. No advisor can pay to promote or prioritize their profile over another. Matching is purely algorithmic and based on criteria compatibility.
Every advisor on Habits is vetted before they can match with consumers. There are two requirements: a valid financial advisor license (state or SEC registration, as applicable), and clearance of our standardized background check, which covers identity, regulatory history, and public records. No advisor reaches a consumer without passing both - anyone who does not clear vetting is fully refunded and removed from the platform. This objective, credential-based screen is our primary quality control: every advisor on Habits meets a consistent, verifiable bar before they are ever put in front of a user.
No. Habits does not include, nor does it intend to include, ranking scores or client review systems for advisors. We welcome testimonials and general feedback, but we do not publish comparative rankings. This ensures all advisors on the platform are presented equitably to matched consumers, without any advisor being able to pay for better placement or ratings.
Advisors see only the profile information that the consumer has chosen to share, limited to what is necessary for a meaningful introduction. This includes general financial situation, stated goals, and meeting preferences. Advisors do not see full account numbers, tax information, or any financial data that consumers have not explicitly chosen to include in their matching profile.
Yes. Enterprise and larger RIA firms can request a copy of our SOC 2 Type II attestation letter or full audit report under NDA. Please contact us with your firm name and compliance contact details and we’ll arrange this directly.
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See how Habits works for financial advisors, or review detailed pricing and what’s included.