Loan counselors, a type of loan officer, operate on several levels in financial institutions. They initially meet with prospective clients to evaluate their qualifications and determine the possibility of loaning money. Often the loan counselor assists with the paperwork necessary to apply for a loan. In some financial institutions, the loan counselor’s input helps determine whether the client acquires the loan or not.
Every financial institution desires specific education and training. The following educational path after high school graduation could set a solid foundation for acquiring a job as a loan counselor:
Even in the case of consumer and mortgage loan officers, a bachelor’s degree greatly increases the odds of being hired, particularly in a competitive job market. Mortgage loan counselors must be licensed via an exam, plus they must take continuing education courses to maintain licensure and submit to a background check.
Loan counselors match clients with the most appropriate loans and credit terms. They conduct clients through the loan process from examining possible loan options to submitting the appropriate documents and applications. Loan counselors often advise customers who struggle with acquiring a traditional loan.
Commercial loans offer complexities not involved in personal or mortgage loans, often due to large amounts of money borrowed by businesses. Some loan counselors assist with commercial loans by locating multiple lenders and wading through commercial financial statements.
Depending on the area of specialty, a loan counselor carries out the following tasks:
Loan counselors need to stay up to date on financial and loan regulations, loan packages available through their particular institution and technology related to banking and finance. Most financial institutions require loan counselors to submit to a background check.
According to a report from May 2008, the Federal government states that the mean annual wage for a loan counselor is around $40,000 depending on education, experience and specialty area. The annual salary range for loan counselors is from $26,000 to $61,000. These earnings may reflect a combination of commissions and salary, or salary alone.