Loan Officer

6 Pages 1384 Words

Subject: Loan Officer


A loan officer performs many tasks in preparing a loan. A loan officer not only helps an individual or business structure the type of loan they need, but a loan officer will analyze an applicant to decide if they are financially able to repay the loan.

In this memo, I will explain some of the job duties and responsibilities, education, technology, and current events that surround my career choice.


Duties and Responsibilities

There are usually three types of loans 1) commercial, 2) consumer or personal, and 3) mortgage loans. Loan officers are usually specialized in only one of these. Depending on the size of the bank, a loan officer might be specialized in more than one loan category. Meaning, if you work at a small bank branch, you will be more likely to handle all three types. In a larger bank they have departments for each type of loan.

There are many steps that a loan officer must take when to approve a business or a person for a loan. First, the officer must take a salesman type role and get the customer into the bank. This step can also be completed over the telephone. The next step is to help the costumer determine the right type of loan that meets their specific needs. Today, financial institutions are finding more and more ways to better serve their customers. As banks and other financial institutions begin to offer new types of loans and a growing variety of financial services, loan officers will have to keep abreast of these new product lines so that they can meet their customers’ needs (1:2). After the loan officer helps determine the correct type of loan, the application process begins. This first step is the gathering of information and it is the loan officer’s job to help the client complete the application and answer any questions. Once the application process is done, the officer will take all the information and compute it into a number, or “credit score”. ...