Series 7 Study Guide: Everything You Need to Pass the General Securities Representative Exam
The Series 7 is the flagship FINRA licensing exam. It is the broadest, most comprehensive securities exam in existence and the primary license required for registered representatives at full-service broker-dealers, wirehouses, and independent broker-dealers. Passing the Series 7 authorizes you to sell virtually every type of security: stocks, bonds, mutual funds, options, REITs, direct participation programs, and more.
It is also one of the most demanding professional exams in the financial services industry. At 125 questions over 3 hours and 45 minutes, with a 72% passing threshold, the Series 7 tests both breadth and depth. Most candidates who pass spend 150–200+ hours studying over 8–12 weeks. This guide gives you everything you need to understand the exam, build an effective study plan, and pass on your first attempt.
Quick Facts
| Detail | Information |
|---|---|
| Full Name | General Securities Representative Examination |
| Administered By | FINRA |
| Number of Questions | 125 scored questions (+ 10 unscored pilot questions, 135 total) |
| Time Limit | 3 hours 45 minutes |
| Passing Score | 72% (90 of 125 scored questions) |
| Prerequisite | Passed SIE + active FINRA member firm sponsorship |
| Sponsorship Required | Yes — must be registered with a FINRA member firm |
| Exam Fee | $245 (paid by sponsoring firm) |
| Testing Provider | Prometric testing centers |
| National Pass Rate | ~72% |
| Typical Study Time | 150–200+ hours over 8–12 weeks |
| Score Validity | No expiration while registered; must retake if out of industry 2+ years |
What the Series 7 Exam Tests
The Series 7 tests whether a registered representative can competently serve retail and institutional clients across the full spectrum of securities products. FINRA's content outline frames the exam around the job functions of a General Securities Representative:
- Seeking business for the broker-dealer through customers
- Opening and maintaining customer accounts
- Providing investment information and making suitable recommendations
- Processing purchases and sales of securities products
The exam is not primarily a test of financial theory. It is a test of professional judgment and regulatory compliance in the context of securities sales. Many questions are scenario-based: a client has a specific situation — age, income, investment objective, risk tolerance — and you must determine the most suitable recommendation, identify a prohibited activity, or calculate a transaction outcome.
This means passive memorization is insufficient. You must understand why rules exist, how products work in practice, and what a reasonable registered representative would do in a given client situation.
Topic Breakdown by Content Domain
FINRA organizes the Series 7 into four job functions. Unlike the SIE, one domain — Delivering Investment Information — dwarfs the others.
Job Function 1: Seeks Business for the Broker-Dealer — 7%
Approximately 9 questions. This covers how registered representatives can market themselves and their firm within FINRA's communication rules:
- Types of communications: Retail communications, correspondence, and institutional communications
- Approval requirements: Who must review and approve what; principal approval for retail communications
- FINRA's communication standards: Prohibitions on misleading claims, required disclosures, use of testimonials
- Cold calling rules: Do Not Call registry, time-of-day restrictions, required disclosures
- Research reports and analyst conflicts: Rules governing research report disclosures, separation of research and investment banking
Though only 7% of the exam, communication rules appear as context in questions across other domains. A candidate recommending a product inappropriately or using a misleading communication crosses into prohibited activity territory even if the product knowledge was correct.
Job Function 2: Opens Accounts for Customers — 9%
Approximately 11 questions. This covers account opening requirements:
- New account documentation: New account form requirements, information that must be obtained (name, address, DOB, employment, financial status, investment objectives)
- Customer Identification Program (CIP): Identity verification under the USA PATRIOT Act, beneficial ownership rules for legal entity customers
- Types of accounts: Individual, joint (JTWROS and TIC), custodial (UGMA/UTMA), trust, estate, corporate, partnership, margin
- Discretionary accounts: Written authorization required; principal review of activity
- Retirement accounts: Traditional IRA, Roth IRA, SEP IRA, SIMPLE IRA, 401(k) — contribution limits, distribution rules, required minimum distributions (RMDs)
- Pattern day trader rules: 4 or more day trades in 5 business days; $25,000 minimum equity requirement
- Anti-money laundering (AML): Suspicious activity reporting (SAR), currency transaction reports (CTR for cash transactions over $10,000)
Job Function 3: Provides Investment Information and Recommendations — 73%
Approximately 91 questions. This is the heart of the Series 7. Nearly three quarters of the exam falls here. It covers every major securities product category plus suitability standards:
Equity Securities
- Common stock: rights, dividends, capital gains, voting rights, preemptive rights
- Preferred stock: cumulative, non-cumulative, participating, convertible, callable
- ADRs, rights, warrants
- Short selling mechanics and risks
- Equity valuation concepts: P/E ratio, earnings per share, dividend yield
Debt Securities
- Corporate bonds: indenture, trustee, sinking fund, call features, conversion features
- Government securities: T-bills, T-notes, T-bonds, TIPS, savings bonds, CMBs
- Agency securities: Ginnie Mae (direct government guarantee), Fannie Mae and Freddie Mac (implicit backing)
- Municipal bonds: general obligation bonds, revenue bonds, industrial development bonds, moral obligation bonds; tax treatment; equivalent taxable yield calculations
- CMOs and mortgage-backed securities: pass-through certificates, CMO tranches (PAC, TAC, companion/support tranches, Z-tranche)
- Bond pricing: premium vs. discount, yield calculations (current yield, YTM, YTC, TEY)
Packaged Products
- Mutual funds: open-end vs. closed-end; NAV calculation; sales charge structures; 12b-1 fees; breakpoints; LOIs; ROAs; fund objectives
- ETFs and ETNs
- REITs and REOCs
- Direct Participation Programs (DPPs) / Limited Partnerships: oil and gas, real estate, equipment leasing; risk/benefit analysis; tax treatment; at-risk rules; passive activity rules
Variable Products
- Variable annuities: accumulation units, annuity units, subaccounts, payout options, tax treatment
- Variable life insurance: separate account, cash value, death benefit, surrender charges
Options — The Make-or-Break Domain This represents 15–20% of the exam. Most candidates underestimate its difficulty. (See the Hardest Topics section below for full coverage.)
Suitability and Reg BI
- Regulation Best Interest (Reg BI): broker-dealers' best interest obligation; the four component obligations (care, disclosure, conflict of interest, compliance)
- Investment profiles: risk tolerance, time horizon, liquidity needs, investment objectives, tax considerations
- Making suitable recommendations for various customer profiles
- Senior investor considerations: suitability for elderly clients, undue influence, diminished capacity protections
Job Function 4: Processes Transactions — 11%
Approximately 14 questions. This covers trade execution, settlement, and account maintenance:
- Order types: Market, limit, stop, stop-limit, market-on-open, market-on-close, trailing stops
- Settlement: Regular-way settlement for equities (T+1), corporate and municipal bonds (T+1), government securities (T+1), options (T+1), mutual funds (T+1 after execution at next NAV)
- Margin accounts: Reg T (50% initial), minimum maintenance margin (25%), margin calls, SMA (Special Memorandum Account), short margin accounts
- Short sales: Locate requirement, marking requirements, Reg SHO
- Trade confirmations and account statements: What must appear on a confirmation; statement frequency requirements
- Dividend processes: Declaration date, ex-dividend date, record date, payable date; dividend adjustments for options and short positions
- Corporate actions: Stock splits, stock dividends, reverse splits, rights offerings, tender offers, mergers
Who Needs the Series 7 License
The Series 7 is the most comprehensive and widely held FINRA securities license. It is required for:
Wirehouse financial advisors: Advisors at large broker-dealers (Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, UBS) almost universally hold the Series 7.
Full-service broker-dealers: Any registered representative who engages in the full range of securities transactions needs the Series 7.
Independent broker-dealers: Representatives at IBDs (Raymond James, LPL Financial, Ameriprise, Edward Jones) require the Series 7.
Investment banking: Junior bankers who interact with clients or handle securities often need the Series 7 alongside the Series 79.
Dually registered advisors: Many fee-based RIA advisors who also maintain a broker-dealer affiliation carry the Series 7 for transactional business.
Common companion licenses:
- Series 63: Uniform Securities Agent State Law Exam — required in virtually all states in addition to the Series 7 for selling securities to state residents
- Series 65: Uniform Investment Adviser Law Exam — needed to operate as an investment adviser representative
- Series 66: Combines the Series 63 and 65; commonly held alongside the Series 7 at full-service firms
Difficulty and Pass Rate
The Series 7 has a national pass rate of approximately 72%. Given that candidates are sponsored by firms and are expected to study seriously, this pass rate reflects genuine difficulty. First-time failure is common.
The leading causes of Series 7 failure:
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Options — by far the most common weak point. Options represent 15–20% of the exam. The math, the terminology (long, short, calls, puts, spreads, straddles, combinations), and the scenario-based questions trip up even candidates who performed well in other areas. Options questions require you to simultaneously track: the premium paid or received, the strike price, the current stock price, whether you're long or short, and whether the question asks about maximum gain, maximum loss, or breakeven. Candidates who skim options material almost always fail.
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Margin calculation errors. Margin questions involve multi-step arithmetic: calculating equity, determining whether a call has been triggered, figuring out how much must be deposited. One missed step produces a wrong answer even if the candidate understands the concept.
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Municipal bond details. The differences between GO bonds and revenue bonds, the tax treatment of municipal bond interest, equivalent taxable yield calculations, and the specialized terminology of muni new issues (official statement vs. prospectus, bond counsel opinion, MSRB rules) constitute a large and dense subject area.
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Overconfidence from SIE performance. Candidates who passed the SIE with a high score sometimes approach the Series 7 without adequate respect for the additional depth required. The Series 7 is not just "more SIE" — it tests material at a fundamentally deeper level, with more complex scenarios and more arithmetic.
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Running out of time. At 135 questions in 3 hours 45 minutes, the exam allows about 100 seconds per question. Complex options and margin questions can eat 3–5 minutes each. Candidates who don't manage time and rush the final 20 questions score poorly on questions they might otherwise have answered correctly.
Step-by-Step Study Timeline: 10-Week Plan
This plan assumes approximately 15–20 hours of study per week and a starting point of having passed the SIE. Adjust if you are preparing for the SIE and Series 7 simultaneously (add 2–3 weeks for SIE coverage).
Week 1: Equity Securities
Master common and preferred stock in depth. Cover ADRs, rights and warrants, equity valuation metrics, short selling, and margin basics. Review how equity dividends work (declaration date, ex-date, record date, payable date).
- End of week target: 80%+ on a 30-question equity practice quiz
Week 2: Debt Securities — Corporate and Government Bonds
Cover all bond types: corporate bonds (covenants, indentures, call features, convertibles), U.S. government securities (T-bills, T-notes, T-bonds, TIPS), and agency securities (Ginnie Mae, Fannie Mae, Freddie Mac). Master bond pricing concepts: discount vs. premium, yield calculations.
- Key formula to memorize: Current Yield = Annual Coupon / Current Market Price
- End of week target: 75%+ on a 35-question bond practice quiz
Week 3: Municipal Bonds and CMOs
Municipal bonds get their own week because of their depth. Cover GO vs. revenue bonds, muni bond new issues (official statement, bond counsel opinion, MSRB requirements), tax treatment, the equivalent taxable yield formula, and Build America Bonds. Then cover CMOs: pass-through certificates, PAC tranches, TAC tranches, Z-tranches.
- Key formula: Equivalent Taxable Yield = Tax-Exempt Yield / (1 – Tax Bracket)
- End of week target: 70%+ on a 30-question muni/CMO practice quiz
Week 4: Packaged Products, DPPs, and Variable Products
Mutual funds (NAV, load structure, breakpoints, 12b-1 fees, letter of intent, rights of accumulation), closed-end funds, ETFs, REITs, UITs. Then DPPs: limited partnerships, the four types (oil/gas, real estate, equipment leasing, agricultural), tax benefits (depletion, depreciation), at-risk rules. Finally variable annuities and variable life insurance.
- End of week target: 72%+ on a 35-question packaged products practice quiz
Week 5: Options — Part 1 (Single Positions)
Dedicate this entire week to the four basic options positions: long call, short call, long put, short put. For each, master: maximum gain, maximum loss, breakeven, and profit/loss at any given stock price. Do not move to spreads until you can answer single-position questions with 80%+ accuracy.
- Daily drills: 20 options calculations per day, timed
- End of week target: 80%+ on 40-question basic options quiz
Week 6: Options — Part 2 (Spreads, Straddles, Combinations, Hedging)
Cover debit spreads (bull call spread, bear put spread), credit spreads (bear call spread, bull put spread), straddles (long and short), and combinations. Cover how options are used to hedge equity positions (protective puts, covered calls). Cover index options and how they differ from equity options. This week is the most intellectually demanding of the entire study plan.
- End of week target: 72%+ on a 40-question advanced options quiz; combined 75%+ on options overall
Week 7: Account Opening, Suitability, and Regulation BI
Cover all account types and documentation requirements, customer identification, AML, pattern day trader rules, and retirement accounts. Spend significant time on Regulation Best Interest: the four component obligations, how Reg BI differs from the old suitability standard, Form CRS. Review senior investor protection rules.
- End of week target: 78%+ on a 30-question accounts/suitability quiz
Week 8: Trading, Margin, Settlement, and Corporate Actions
Master all order types (market, limit, stop, stop-limit, trailing stop), Reg T and maintenance margin in full detail with calculations, SMA mechanics, short account margin. Cover settlement dates for all security types. Cover corporate actions: stock splits, dividends, tender offers, rights offerings.
- Key formula: Long margin equity = Current market value – Debit balance
- End of week target: 75%+ on a 35-question trading/margin quiz
Week 9: Full-Length Practice Exams
Take two full 125-question timed practice exams under realistic conditions. Review every wrong answer. After each exam, identify your two weakest content areas and spend a focused study session on each.
- Target practice score: 77–80% before exam day
- Do not schedule your exam unless you are consistently hitting 75%+ on full-length practice tests
Week 10: Targeted Remediation and Final Review
Do not study new material this week. Drill your weakest areas with focused topic quizzes. Create a final review sheet of the rules, thresholds, and formulas you most frequently miss. The night before: review only your final cheat sheet. Do not take a practice exam the day before — it builds anxiety, not knowledge.
Study Strategy: How to Actually Pass
The Options Imperative
Options deserve 20–25% of your total study time even though they represent 15–20% of the exam. Here's why: options questions are disproportionately difficult. A suitability question might take you 45 seconds. A complex spread question showing a straddle at various stock prices might take you 5 minutes. Candidates who are weak on options slow down dramatically mid-exam and run out of time.
Build a table for every options strategy you learn. Columns: strategy name, construction (long/short, call/put), market outlook, max gain, max loss, breakeven. Options questions almost always ask for one of these five things.
The "Why" Framework for Suitability
Suitability questions ask you to match a product or strategy to a client profile. Do not memorize lists of "client X gets product Y." Instead, internalize the reasoning framework: What is this client's investment objective? What is their time horizon? What is their risk tolerance? What tax considerations apply? What liquidity needs do they have?
Once you have this framework internalized, you can work through any suitability scenario you've never seen before.
Margin Arithmetic Discipline
Margin questions have multi-step calculations. Write out your work even on scratch paper during the exam. The most common errors:
- Forgetting to subtract the debit balance correctly
- Confusing long margin and short margin formulas
- Not accounting for the change in market value when calculating a margin call
Practice at least 30 margin calculation questions before exam day.
High-Yield Rules to Memorize
| Rule / Threshold | Detail |
|---|---|
| Reg T initial margin | 50% of purchase price |
| FINRA minimum maintenance margin (long) | 25% of current market value |
| Pattern day trader minimum equity | $25,000 |
| Cash settlement | Same business day |
| Reg T settlement (margin calls) | T+2 (2 business days to deposit) |
| Municipal bond interest | Exempt from federal income tax (not always state) |
| SIPC coverage | $500,000 total; $250,000 cash |
| Currency transaction report threshold | $10,000 in cash |
| Short interest report | Filed twice monthly by broker-dealers |
The Hardest Topics Explained
1. Options Strategies — Spreads and Straddles
Spreads involve buying and selling two options of the same type (both calls or both puts) on the same underlying security but with different strike prices or expiration dates.
A bull call spread (also called a debit call spread) is constructed by buying a call at a lower strike and selling a call at a higher strike. You pay a net debit. You profit if the stock rises. Your maximum gain is limited to the difference between the strike prices minus the net debit. Your maximum loss is the net debit.
Example: Buy 1 XYZ 50 call at $4, sell 1 XYZ 55 call at $1.50. Net debit = $2.50.
- Max gain = (55 – 50) – 2.50 = $2.50 per share ($250 total)
- Max loss = $2.50 per share ($250 total)
- Breakeven = 50 + 2.50 = $52.50
A straddle involves buying (or selling) both a call and a put on the same underlying security with the same strike price and expiration.
A long straddle profits when the stock makes a large move in either direction. An investor uses a long straddle when they expect high volatility but don't know the direction — for example, before an earnings announcement.
- Max loss = Total premiums paid (if stock stays at exactly the strike price at expiration)
- Max gain = Unlimited (call side if stock rises; substantial but capped put side if stock falls)
- Breakeven: Two breakevens — lower = strike – total premium; upper = strike + total premium
A short straddle profits when the stock barely moves. The seller collects premiums on both the call and put and keeps them if the stock stays near the strike. Maximum gain is the total premium received; maximum loss is unlimited (on the call side) / substantial (on the put side).
2. Margin Accounts — Long and Short
Long Margin Account
The key formula: Equity = Current Market Value (CMV) – Debit Balance
Margin percentage = Equity / CMV
If margin percentage falls below the maintenance requirement (typically 25–30%), a margin call is issued.
To find how much must be deposited after a margin call:
- Calculate required equity: CMV × maintenance requirement
- Calculate actual equity: CMV – Debit balance
- Margin call amount: Required equity – Actual equity
Short Margin Account
Short selling introduces different math. When you short a stock, you sell borrowed shares and receive the proceeds. Those proceeds are held in the account as collateral.
Short account equity = CMV of proceeds + margin deposited – CMV of short securities
If the stock rises (moving against a short position), maintenance margin can be breached. Most firms require 130% of the short market value.
SMA (Special Memorandum Account): When a long margin account exceeds the initial 50% requirement (due to appreciation), excess equity goes to the SMA. The SMA can be used to buy more securities or withdrawn as cash. SMA does not go away when the market value declines — this is a key exam point.
3. Municipal Bonds — Depth of Knowledge Required
The Series 7 tests municipal bonds far more deeply than the SIE. The areas where candidates lose points:
GO vs. Revenue Bonds: General obligation bonds are backed by the full taxing authority of the issuer (state, city, school district). They typically have higher credit quality. Revenue bonds are backed only by the revenues generated by the financed project (toll road, hospital, airport). Revenue bonds carry higher risk but can have higher yields.
New Issue Process: Municipal bonds are issued via the official statement (not a prospectus — that's for corporate securities). The bond counsel provides a legal opinion on the tax-exempt status. Underwriting can be competitive bid (the municipality solicits bids from multiple syndicates and awards to the lowest net interest cost bid) or negotiated (the municipality selects an underwriting firm directly).
Equivalent Taxable Yield (ETY): Used to compare a tax-exempt municipal yield to a taxable corporate bond yield.
Formula: ETY = Tax-Exempt Yield ÷ (1 – Marginal Tax Rate)
Example: A 4% muni bond vs. a corporate bond for a taxpayer in the 35% bracket. ETY = 4% ÷ (1 – 0.35) = 4% ÷ 0.65 = 6.15%
This means the muni bond is equivalent to a taxable bond yielding 6.15% for this investor. If available corporate bonds yield less than 6.15%, the muni is the better after-tax investment.
MSRB Rules: The Municipal Securities Rulemaking Board regulates dealers in the municipal market. Key rules: Rule G-37 (political contributions — "pay-to-play" rule), Rule G-17 (fair dealing), Rule G-30 (fair pricing). The MSRB does not regulate municipal issuers themselves, only dealers.
4. Regulation Best Interest (Reg BI)
Reg BI replaced the old "suitability" standard for broker-dealers in June 2020. Many candidates confuse it with the fiduciary standard that applies to investment advisers.
The four component obligations under Reg BI:
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Disclosure obligation: Before or at the time of a recommendation, broker-dealers must disclose material facts about the recommendation, the relationship, fees, and conflicts of interest. This is primarily fulfilled through Form CRS (Customer Relationship Summary).
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Care obligation: When making a recommendation, broker-dealers must exercise reasonable diligence, care, and skill. They must understand the product being recommended and have a reasonable basis to believe the recommendation is in the retail customer's best interest. This is more than just suitability — it requires actual analysis of whether the recommendation is the best option for the client, not just a suitable one.
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Conflict of interest obligation: Broker-dealers must establish policies to identify, disclose, and mitigate (or eliminate) conflicts of interest that might affect recommendations — for example, compensation structures that reward recommending higher-commission products.
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Compliance obligation: Firms must maintain policies and procedures to achieve compliance with Reg BI.
Key distinction: Reg BI applies to broker-dealers making recommendations to retail customers. The Investment Advisers Act fiduciary standard applies to investment advisers. Dually registered firms must navigate both standards.
Practice Question Strategy
With 150–200+ hours of study required, structured practice is essential.
Volume target: Aim for 1,500–2,000 practice questions before exam day. This sounds like a lot — but at a pace of 30–50 questions per study session, it takes about 4–6 weeks of consistent practice. By exam day, you want to have seen enough question variations that nothing surprises you.
The first pass: untimed, item-by-item review. In weeks 1–7, after reading each topic, do a focused 25–40 question quiz on that topic. Review every answer — correct and incorrect — before moving on. This is how you build a mental model of how FINRA writes questions.
The second pass: full-length timed exams. In weeks 8–10, take full 125-question timed exams. Track your time. Most candidates discover they're either too slow (running out of time) or too fast (careless errors). Aim for a pace of 90 seconds per question, leaving 5–10 minutes at the end to revisit flagged questions.
Analytics-driven review. Most good question banks track your accuracy by topic. Use this data. If your options accuracy is 58% and your equity accuracy is 85%, spend three times as long on options review. Do not let feelings guide your study allocation — use the data.
Simulate real conditions. At least twice before your exam, sit at a desk with nothing but scratch paper, take 135 questions under timed conditions, and do not get up or check your phone. The ability to sustain focus for 3 hours 45 minutes is a skill that must be practiced.
Exam Day Logistics
Registration
The Series 7 registration process requires firm sponsorship:
- Your firm files a Form U4 on your behalf in FINRA's Central Registration Depository (CRD). This registers you as a candidate for the Series 7.
- FINRA reviews and approves the registration, typically within 2–3 business days.
- Your firm (or you) schedules the exam at a Prometric testing center through FINRA's exam scheduling portal.
- The $245 exam fee is typically paid by your sponsoring firm.
You cannot register for the Series 7 on your own — a FINRA member firm must initiate the process.
What to Bring to Prometric
- Two forms of ID: Primary must be government-issued with name, photo, and signature. Secondary must have name and photo or signature. The name on your ID must exactly match the name on your Form U4 registration.
- Prometric provides scratch paper and pencils. You cannot bring notes, calculators, or any personal items into the testing room.
What to Expect on Test Day
- Arrive at least 30 minutes early. Bring both IDs.
- You will be photographed and your biometrics recorded.
- The exam environment is monitored by both staff and cameras.
- 135 questions appear (125 scored + 10 unscored pilot questions). You cannot distinguish scored from unscored questions.
- You can flag questions for review. Many candidates complete the exam once quickly, flagging uncertain questions, and then return to review them.
- After submitting, you receive a preliminary pass/fail result immediately. Your official score report and the breakdown by job function are available in the FINRA system.
- The passing score is 72% (90 out of 125 scored questions correct).
Retake policy: If you fail, you may retake after 30 days for the first two failures. After a third failure within a testing window, a 180-day waiting period applies.
Frequently Asked Questions
Do I need to pass the SIE before the Series 7?
You must have a passing SIE score on record to take the Series 7. You can pass the SIE before getting sponsored, or your firm can sponsor you to take both the SIE and Series 7 in sequence. Most firms prefer (or require) that candidates take the SIE first, then study for the Series 7.
Can I study for the Series 7 without firm sponsorship?
You can study, but you cannot register for the exam without sponsorship. This is why some candidates take the SIE independently before job hunting — it demonstrates initiative and knowledge while they're securing a sponsoring position. Then once hired, they already have the SIE complete and can focus on the Series 7.
How hard is the Series 7 compared to the SIE?
Significantly harder. The SIE tests conceptual understanding at a moderate depth across four domains. The Series 7 tests a subset of those domains (primarily products and accounts) at much greater depth, with complex math, detailed regulatory rules, and scenario-based questions that require judgment — not just knowledge. Most candidates who passed the SIE without extensive study cannot approach the Series 7 the same way and pass.
What score do I need to pass?
72% — 90 correct answers out of 125 scored questions. The exam score is not curved. FINRA uses a scaled scoring system, but the passing threshold is consistent.
What happens if I fail twice?
After a first failure, you must wait 30 days before retaking. After a second failure, another 30-day waiting period. After a third failure, 180 days. Your firm's compliance department will be notified of failures via the CRD system. Some firms have internal policies about the maximum number of attempts they will sponsor.
Do I need the Series 63 too?
Almost certainly yes. The Series 7 authorizes you to sell securities at the federal level, but virtually every state requires the Series 63 (Uniform Securities Agent State Law) for state registration. Most registered representatives hold both the Series 7 and Series 63 (or the Series 66, which combines the Series 63 and 65). Check with your firm's compliance department about state registration requirements in the states where you'll do business.