Loan Counselors: Job Description & Career Outlook

Loan counselors are employed at banks, credit unions and a range of other financial institutions. Those who are planning to prepare a debt consolidation strategy may need the assistance of a loan counselor. These professionals do not only help organize personal loans, but they also provide their clients expert consultation on personal finance issues. There are many people who find it quite tough to qualify for traditional loans. Loan counselors can help these people qualify for their desired loans. Loan counseling can prove to be a quite profitable career, if you have a keen interest in this occupation. To help you prepare for this career, given below is some essential career information on how to become a loan counselor.

 

Job Responsibilities
Obtaining loans involves multiple requirements and restrictions. And it becomes very difficult for people to qualify for these loans on their own. Clients always look for the best loan type and for which they can easily qualify. Whether it is about the processing of the application material or completing the legal documents, loan counselors are quite well versed and trained to perform all these documentation activities for their clients.

 

Many clients face difficulties in the repayment of their loans. In this case also, loan counselors prove to be of immense help. They can assist clients in the rescheduling of the payment process and restructure the loans. In many financial institutions and banks, loan counselors function as salespersons, holding the job responsibility to acquire clients.

 

Some of the key responsibilities of loan counselors include -

 

Determining the feasibility of providing loans to clients
Comprehending the applicant's current financial picture
Provide expert consultation to clients on their previous loans
Prepare payment priorities on specific credit terms
Approve loans for clients within the specified limit
Interviewing applicants to see their eligibility for acquiring loan
Stay up-to-date with the credit regulations

 

Educational Qualification & Training
A bachelor's degree in business or economics is the minimum requirements to occupy jobs as a loan counselor at banks and other financial institutions. A few years of work experience in the finance sector and strong knowledge about banking procedures enhances the employment prospects of aspiring candidates. Depending on the state they belong to, candidates may also need to obtain some necessary certifications from a national level professional credit association.

 

Job Characteristics
Only possessing a bachelor's degree in business or economics is not enough to enhance your chances of landing jobs as a loan counselor and establish a successful career. Candidates should also possess some important job skills which include strong mathematical skills, interpersonal skills and excellent communication among others. At the same time, counselors also need to be well versed with the use of accounting software. The standard working hour for this job is forty hours a week. Counselors may also need to work extra hours or overtime depending on the number of clients they cater to.

 

Employment Outlook
The United States Bureau of Labor Statistics predicts an employment growth for loan counseling jobs as fast as the average of all other occupations, between the year 2006 and 2016. Annual earnings of loan counselors may vary depending on their work experience, knowledge and skill sets. The average annual salary of these counselors is around $37,470. High salaried jobs for loan counselors are available with financial investment services, automobile dealers and residential building construction industry.

 

Major Employers for Loan Counseling Jobs
There is no dearth of employment opportunities for loan counselors who have adequate qualification and several years of work experience in banking and finance. Some of the major employers for loan counseling jobs include banks, credit unions, colleges, universities and professional institutions among others.