Financial loan managers are management-level loan officers; the ones in charge of the process of overseeing loan applications. Independently, they seek the interests of the individual borrower. When employed by a company, they serve the interests of the company, which is to filter out unacceptable applications and only select the best, minimal risk opportunities.
In addition, they have new clients to gather their information, interview these households, and explain loan products. They also have a screening phase during which they scrutinize credit, income and other demographical data.
Salary Expectations for Financial Loan Managers
Loan managers involved in the area of finance earn $56,000 per year, according to the Bureau of Labor Statistics, and according to a mean calculation based on HR reports and other research. The lowest ten percent of the work force make under $30,000, while the top 10 percent, undoubtedly management-level, make $112,000 per year. However, this is a difficult profession to summarize, given how greatly compensation is from company to company.
Some workers are paid via flat rate, while others make most of their money on commission. Loan officers may choose to work for a flat rate but receive bonus money based on a quota of loans they complete and approve.
The biggest cities for business, such as New York, San Francisco, Peabody, and Salinas, pay the most, in contrast to firms located in smaller towns or cities. Auto loan officers and mortgage brokers tend to earn the highest salaries of the profession. In contrast, real estate agents earned slightly less. Other positions within the industry include sales representatives, accountants, and financial advisors within the loan field.
The Job Outlook for 2014 and Beyond
Salary will be subject to market change, not to mention continuing recession. As of 2013 and looking towards 2020, the profession is inspected to grow at a rate that is consistent with the rest of business and economy. There is still a considerable need for more officers, as recessionary times lead to lower interest rates, and a greater number of applicants. Besides that, many are predicting that the recession will slowly turn around, and when that happens, banks and other lenders will grant more loans than the present time.
Lending activity does remain sensitive at best, considering how volatile the economy is. However, considering the advent of online loan applications, not to mention a recovering economy, the growth is expected to continue until the end of the decade. Increased competition is a factor and more companies are hiring college graduates, particularly graduates who earn higher than a bachelor’s degree.
This is especially true of companies who are hiring managers explicitly, as they are looking for employees who specialize in leadership skills and who can handle higher responsibilities without supervision. Work experience will also be scrutinized, and any fieldwork in lending, banking or even sales will be seen as an asset.
Lastly, remember that some firms will request loan officers to produce their own leads. If this is the case, building a referral network and creating your own points of contacts is an essential step in independent career building. It’s a challenge for sure, but if you want to help people recover from financial difficulty and enjoy creating opportunity, this is the natural path for you.