Loan Officer Job Description

Every person who has to take a loan from a bank will know the importance of this job. A loan officer is who decides whether a person is eligible for a loan or not. The loan officer has to take into consideration many things before they approve a loan for anyone. To know more about the job of a loan officer, read the loan officer job description we have provided.

The loan officer has to deal with a lot of people throughout the day; they have to interact with them and even have to hear their pleas for a loan. However, they cannot give loan to just about anyone and to get loan from a bank, one needs to have a good credit background. Ever since the housing sector collapsed, there has been a sharp fall in jobs of loan officers, because of the strictness of the jobs, but the economy has recovered and people are flocking towards this profession again.

The money made by the officers is quite good and the educational requirements are not that high. The main requirement is good people skills and making good customers for the bank they work in. They have to develop the loan-lending skills, but also at the same time, they have to recognize honest loan payers from the defaulters.

They have to guide the people on what the correct procedures for loan procurement are, and tell them what the right amount would be for them. They also have to guide them on how they should go about paying the loan and forewarn them about the risks involved. Loan officers have to tell them the exact amount of interest that they would be charged for the loan.

The documents made for applying for the loan have to be immaculate or the customer could risk losing the loan opportunity. Hence, the loan officer has to guide them regarding the loans and the forms. To know the importance of this profession, read the loan officer job description we have provided for your benefit.

Duties and responsibilities of a loan officer

Selecting the right candidates that are eligible for a loan
Increasing the credit business of the bank or institution that have hired them
Guiding the customer on the procurement of loan
If a customer is rejected for a certain amount, they can guide them what the right amount would be for them
Explaining the financial risks to all the customers
They should have good knowledge of the mortgage of the market
They have to do a thorough credit check on each customer before they approve them for loans
Design payment schedules for the customers
Keep proper records and look into customer complaints
Arrange for the customers to repay outstanding loans to the bank
Increasing the loan revenue of the bank and in return increase their own commissions

Education required for the job of loan officer

Believe it or not, not even a high school diploma is required for the job
Good people skills and judgment is required

Career Advancement

The officers gain the post of seniors, but since they work on commissions and not basic salaries, they have no advancement but the money they can make is good.

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