|What does a loan officer do?
Loan officers help people apply for loans. This lets people do
things like buy a house or a car, or pay for college. Loan officers
help businesses by loaning them money to get started or to buy
Loan counselors help people who want a loan but have problems
that could keep them from getting it.
There are three kinds of loan officers.
- Commercial loan officers work with businesses.
- Consumer loan officers work with people who want
a loan for things like a car.
- Mortgage loan officers work with people who want
to buy real estate or get new real estate loans for property
they already own.
Loan officers usually have to travel a lot. Commercial and mortgage
loan officers often have to work away from their offices. At the
same time they must keep in touch with their offices and customers.
Commercial loan officers sometimes travel to other cities. This
can be necessary for more complicated loans. Mortgage loan officers
often work out of their home or car. They visit offices or homes
of customers while filling out applications. Consumer loan officers
and loan counselors are likely to spend most of their time in
Most loan officers work a normal 40-hour week. Sometimes they
have to work longer hours if they have a lot of customers who
want loans. Mortgage loan officers often work long hours. This
is because they can take on as many customers as they choose.
Loan officers are very busy when interest rates are low. This
is because more people will want to borrow.
|How do you get ready to be a loan officer?
Loan officers usually have a college degree in finance, economics,
or a similar field. It helps to know a lot about computers and
how they are used in banking.
If you want to become a loan officer, you need to be able to
work well with others. You also need to believe in yourself.
Loan counselors and officers who work in banks or credit unions
do not have to get a license. Those who work in mortgage banks
or brokerages may have to be licensed.
|How much does a loan officer make?
The middle half of all loan counselors earned between $26,330
and $41,660 in 2002. The lowest-paid 10 percent earned less that
$22,800. The highest-paid 10 percent earned more than $57,400.
The middle half of all loan officers earned between $32,360 and
$62,160 in 2002. The lowest-paid 10 percent earned less than $25,790.The
highest-paid 10 percent earned more than $88,450.
Most loan officers are paid a commission. This means that the
amount they earn depends on the number of loans they bring in.
This encourages loan officers to make more loans. Some loan officers
are paid only salaries. Others are paid a salary plus commission.
There were about 255,000 loan officer and loan counselor jobs
in 2002. Most of these jobs were held by loan officers. Loan officers
work all over the country, but most work in or near big cities.
Loan counselors and officers work for businesses such as banks
and mortgage companies.
Employment of loan counselors and officers is expected to grow
about as fast as the average for all jobs through 2012. Those
who have a college degree will have the best chance for a job.
So will people with experience in banking, lending, or sales.
|Are there other jobs like this?
- Insurance sales agents
- Financial analysts and personal financial advisors
- Real estate agents
- Securities and financial services sales representatives
|Where can you find more information?
More information about loan counselors and officers can be found
in the Careers Database.
Occupational Outlook Handbook -- U.S. Department of Labor Bureau
of Labor Statistics