A loan manager is a job with great pay and benefits – a job worthy of striving to obtain. Of course, you must know what the job entails so you can ensure that it is a good fit for you. You surely know the basics of the job, which is evaluating loan applications and approving or denying a loan. However, there is much more to this position.
The duties of a Loan Manager
Being a loan manager requires you to be a people person with good communication skills. You will be meeting with people every day, discussing very personal information, and then either approving or denying a loan. Correspondingly, you must be able to clearly explain your decisions. Before you can decide, you will be doing a background and credit check on those applying for the loan. This may also mean going through the information about the applicant’s financial status, as well as their property, assets and other matters.
You will need to understand all of the available options so that you can easily explain it to the applicants. People will need to be made aware of all of credit and loan options, as well as the terms and requirements. Most loan managers have to compute payment schedules, market products and services to interested parties, develop referral networks, and handle the liquidation of properties for accounts that have become delinquent. Many loan managers also hire and train various levels of employees that will be working under them.
Money can be a very touchy subject, even a nerve wracking experience for some, therefore, having the knowledge and people skills will help your clients and your career. You will need to know how to have discretion and tact, to help people understand the process and make sure it goes as smoothly as possible.
You will also need to hone your decision, making skills and observing skills. Many cases may involve walking a very fine line between approval and denial and the final say will most often be yours. In this case, you need to be able to weigh all the information and make the best-educated decision you can, based on the presented facts and personal observations you have made about the clients. In addition to being successful in this career, you must have the following skills: professionalism, computer skills, thoroughness, and financial skills.
A bachelor’s degree in finance, accounting, or economics is usually required, even for entry-level jobs. Licensing requirements will vary by state and may depend on the job position such as MLO license, NMLS credentials, SAFE MLO testing. You may also need to take courses such as a loan review certificate program, or the certified mortgage banker program, to enhance your skills.
Loan managers make an average annual salary of $60,000, but some of the top names pull in well over $100,000 a year. Currently, there is a 14% job growth outlook until 2020. Job prospects are bright, income is great, and for those people willing to work hard, this can be a very enjoyable career.