Some colleges take CLEP, some colleges do not; the same is true for AP, Advanced Placement. But there are two benefits of taking tests for college credit, regardless of which method you choose.
One benefit is that it is a college course that they will get credit for. That credit may be accepted or it may not. The other benefit is that it can show the college that my child really does know chemistry, for example.
Some colleges may give you the college credit and others will not, but the only way that you can find out is to ask them personally or go to that college's website and search under credit by examinations. Usually colleges will have a policy and it will mention dual enrollment by AP, CLEP and others as well.
When making a transcript you are able to list classes by subject or by year. When I listed the classes by subject, I did not say which ones were the early high school credits but when I listed it by year I did.
So, it would say ninth grade these classes, tenth grade these classes. Anything before 9th grade I said "Early High School Credits". I gave them high school credit for each of those things that I knew was high school level. Any class that they took an passed a CLEP test, I gave them an honors credit, because CLEP reflects a college level of learning.
At the University of Washington, they do not provide college credit for CLEP, but I provided CLEP exams for both of my boys anyway and that is one of the reasons why we got scholarships at the University of Washington. I had all of these tests in all of these different areas so that they knew that what I wrote on the transcript was really true. So, even though they did not get college credit for their CLEP, it still paid off.
Whatever your chosen college takes CLEP or not, the test can offer huge benefits for you student.