Education and Training: High school diploma with courses in algebra, geometry, calculus, and statistics. Certificate in loan processing or bachelor’s or associates degree in accounting or business.
Average Salary: $33,970 per year or $16.33 per hour
Job Outlook: Fair
A loan processor, also known as a loan interviewer or loan clerk, collects, analyzes, and compiles information needed to complete the loan process before submission to the underwriter. Many loan processors get their start in other positions within the company and are promoted to the position after receiving in-house training.
Loan processor job duties are varied according to industry, but generally include running credit checks, verifying loan applicant references, checking loan paperwork for accuracy, helping complete loan paperwork, keeping clients abreast of loan status, and completing the loan paperwork upon approval.
Successful loan processors should have strong familiarity with computers and the Internet, good communication and people skills, the ability to work under pressure, and great organizational skills.
Education and Training Requirements
Although a high school diploma is all that is required to enter the field, high school courses in office productivity software as well as courses in algebra, geometry, calculus, and statistics are recommended. In addition, completing a class in loan processing is beneficial. To truly have an advantage, one should have an associate or bachelor’s degree in accounting or business.
Getting the Job
Most employees are promoted into the position from within the organization. Applicants who have previous experience as well as associate’s or bachelor’s degree in accounting or business are at a distinct advantage.
Job Prospects, Employment Outlook and Career Development
The potential for growth for loan processors is fair. Technological advances have decreased the need for loan processors as more individuals use the Internet to secure loans. As with any other profession, jobs will become available as older workers retire and other workers are promoted to management.
Loan processors who fall under the designation of mortgage loan originator, someone who takes, offers, or negotiates residential mortgage loans, must obtain a mortgage loan originator license.
Certification is available for loan processors from the National Association of Mortgage Processor for three levels: Certified Purple Processor for professionals who are entering the field with no experience, Certified Master Loan Processor for professionals with five years of mortgage experience, and Certified Ambassador Loan Processor for professionals with 15 years mortgage experience. Opportunities for additional training are available through organizations such as the Loan Processor University and the National Association of Mortgage Processors.
Working Conditions and Environment
Loan processors work in a variety of industries such as automobile dealerships, banks, financial institutions, realty companies, brokerage firms, mortgage companies, etc. The typical work environment for a loan processor is a fast-paced and at times, stressful office. Some loan processors work out of home offices.
Salary and Benefits
According to the Occupational Outlook Handbook, the median wage for a loan processor was $33,970 per year or $16.33 per hour. Twenty-five percent of loan processors earned $27,590 per year or $13.27 per hour. Ten percent earned $22,800 per year or $10.96 per hour. Health benefits and paid vacation/leave are the standard for loan processors in many organizations.
Where to Go for More Information
One Silber Way
Boston, MA 2215
Phone: (617) 353-2000
Fax: (617) 358-1819
Loan Processor University (LPU)
Carlota Plaza Center
23046 Avenida de la Carlota, Ste. 600
Laguna Hills, California 92653
Phone: (949) 460-6473
Fax: (949) 682-1882
National Association of Mortgage Processors® (NAMP®)
1250 Connecticut Ave, NW, Ste.200
Washington, DC 20036
Phone: (800) 977-1197
Fax: (202) 318-0655
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