dcsimg



Schools in the USA
Back to Career Search     

Credit Officer


Description

Many individuals come to a point in their lives when in order to purchase an expensive item, such as a house or university tuition fees, they need to apply for some form of credit or a loan. The same applies to businesses that are starting up or need extra funding; they need credit in order to move forward as a company. This is where a credit officer is needed.

Credit officers understand and analyze financial information about loan applications and business conditions, and approve or reject credit applications. They develop credit structuring alternatives for large account transactions and assist account officers in the management of these accounts. Credit officers must ensure that those who want to borrow money are a safe financial risk to the organization. If a potential borrower is deemed unable to pay back a loan in due time by the credit officer, they will be rejected.

So how does a credit officer determine the creditworthiness of an individual or a business applying for credit or a loan? They must spend their days obtaining information from banks, credit institutions and employers, going over a client's credit history, seeing if they have paid back loans in the past. Credit officers will interview applicants for personal, student and business loans, and for mortgages, going over all of these financial questions. After gathering and synthesizing all applicable financial information, they make a final decision regarding the loan.

In larger organizations, there are often different departments that deal with credit operations. For example, some officers may deal with personal accounts while other work in the commercial sector. Also, some may promote credit cards, some may collect outstanding debts while others might work with higher level accounts. In smaller firms, the credit officer usually does all of the credit-related work. The traditional credit officer position was centered around processing and approving loans. However, the job has changed in recent years to focus more on the sale of financial products and services, such as investment funds.
 
View Schools for this Career: 
         Related Careers
arrow Accounting Clerk
arrow Accounts Officer
arrow Actuary
arrow [ view all related careers ]



Program Spotlight
Matching School Ad
Northcentral University

Earn your graduate degree online with Northcentral University.

Programs Offered:
  • Financial Management - D.B.A.
  • Financial Management - PhD in Bus. Admin.
  • Advanced Accounting - PhD in Bus. Admin.
  • And more...

 

 



  Average Earnings  
Lowest 10% of Earners:
$25,790
 
Median Salary:
$43,980
 
Highest 10% of Earners:
$88,450

  Interests and Skills  
Successful credit officers should work with high levels of integrity, honesty and accuracy because they are dealing with numbers and other people's money. They must be skilled problem solvers and be able to make independent, important decisions since they are the ones deciding whether or not to grant loans. Credit officers are good negotiators and communicators as a great deal of the work is dealing with clients. They must also be sympathetic and compassionate because the people coming to them are asking for their help in obtaining credit and they sometimes get rejected. Finally they are born managers who enjoy coordinating the work of others.
 

  Typical Tasks  
  • Plan, organize, direct and control the activities of a credit department in an industrial or commercial organization
  • Administer corporate, commercial and personal loan accounts
  • Evaluate and review loan and credit applications
  • Check out credit ratings with credit bureaus and reporting agencies, and payment experiences with other suppliers
  • Approve or reject credit applications, establish credit limits and determine repayment plans or schedules
  • Ensure collection of overdue or delinquent accounts
  • Ensure credit policies and procedures are followed according to established guidelines
  • Prepare credit and loan reports
  • Recruit credit personnel and oversee their training
  • May supervise a staff of credit personnel
  • May interview, hire and train employees
  • Help senior managers set credit policies, credit lines, procedures and standards.
  • Credit officers typically work in an office environment. Depending on their level of responsibility and management position, they may work longer hours, such as a 50- or 60-hour work week. Credit officers deal with people constantly, including their own staff, members of the public and people in business and industry. Commercial credit managers may travel to firms to interview prospective borrowers and assess business operations.

  Workplaces, Employers and Industries  
  • Credit officers usually work for credit unions, trust companies, banks, finance companies, credit bureaus, commercial lending institutions, industrial corporations and wholesalers, large retail stores and retail chains and government treasury departments.

  Long Term Career Potential  
Experienced credit officers may advance to senior management positions within their organization. They may also shuffle around the financial world working in marketing departments, or becoming financial planners or investment advisors, depending on their qualifications. There is also the possibility of opening up and running one's own credit and loans firm, however most entrepreneurs will only branch out on their own with a solid client base and years of experience.
 

  Educational Paths  
Credit officers usually have a university degree or college diploma in business administration, commerce, economics or a related field. The next step is the completion of either a specific company management training program or a course in credit management. As with all careers, the more on-the-job experience one gets the better chances of getting a good position.
 

Sources:
Bureau of Labor Statistics, U.S. Department of Labor, Occupational Outlook Handbook, 2014-15 Edition, http://www.bls.gov/ooh/
Bureau of Labor Statistics, U.S. Department of Labor, Occupational Employment Statistics, 2002, http://www.bls.gov/oes/2002/oes_nat.htm

Featured Schools

Matching School Ads
Northcentral University  Online

Earn your graduate degree online with Northcentral University.

Programs Offered:
  • Financial Management - D.B.A.
  • Financial Management - PhD in Bus. Admin.
  • Advanced Accounting - PhD in Bus. Admin.
  • more programs...
Campus Locations:
  • San Diego, CA

 
Liberty University  Online

Liberty University provides a world-class education with a solid Christian foundation, equipping men and women with the values, knowledge, and skills essential for success in every aspect of life.

Programs Offered:
Campus Locations:
  • Lynchburg, VA

 
University of Maryland at College Park  Online

Study online with University of Maryland at College Park.

Programs Offered:
  • MBA - Finance
  • MBA - Accounting
Campus Locations:
  • College Park, MD

 
Post University Online  Online

At Post University, we believe you shouldn’t have to put your life on hold to further your education.

Programs Offered:
  • B.S. in Finance / Corporate Finance
  • Certificate: Finance
  • B.S. in Finance / Personal Financial Banking
  • more programs...
Campus Locations:
  • Waterbury, CT

 
San Joaquin Valley College  Online

San Joaquin Valley College - A Private Junior College.

Programs Offered:
  • Degree - Business Administration (Accounting)
  • Certificate - Business Administration (Accounting)
Campus Locations:
  • Lancaster, CA

 
California College San Diego  Online

The Secret to Getting Ahead is Getting Started

Programs Offered:
  • Business Management & Accounting - Property Management (AAS)
  • Business Management & Accounting (AAS)
  • Accounting (BS)
Campus Locations:
  • National City, CA

 
South University, Online Programs  Online

Designed with the needs of working adult students in mind, South University, Online Programs is built on the similar curriculum offered at South University's campus locations. As a student at South University, Online Programs you will receive the same quality instruction, variety of learning options and level of service found at the campus locations.

Programs Offered:
  • Accounting (MS)
Campus Locations:
  • Savannah, GA

 
National Career College  Online
Choosing a school and a new career path can be a very overwhelming process.
Programs Offered:
Campus Locations:
  • Panorama City, CA

 
Institute of Technology  Online

You can get started on a new career with Institute of Technology.

For more information about our graduation rates, the median debt of students who completed the program, and other important information, please visit our website at www.iot.edu/disclosure

Programs Offered:
  • Accounting
Campus Locations:
  • Clovis, CA

 
Matching School Ads
  Universities and Colleges
Clarkson UniversityColorado School of MinesDalhousie University
Oral Roberts UniversityPenn State HarrisburgTemple University
The University of HoustonThompson Rivers UniversityUNB Saint John
University of AlabamaUniversity of ArkansasUniversity of British Columbia
University of IowaUniversity of New BrunswickUniversity of Oregon
University of OttawaYork University
Agriculture and Bio-resources | Allied Health and Health Sciences | Applied Business Technology | Architecture
Business Administration | Computer Science | Cosmetology and Esthetics | Culinary, Travel &Hospitality | Dance 
Engineering Technology & Applied Technology |Engineering | Film | Fine Arts and Design | Humanities and Liberal ArtsJustice and Security
Music
| Natural and Applied Sciences | Naturopathic and Holistic MedicineNursingPublic Administration & PolicyReligious and Theological Studies
Sport Sciences and Physical Education | Teacher Education | Theatre
Articles | College News | Videos | Feedback | Career Search
Home | About Us | Contact Us | Faq | Terms of Use | Policy Statement | Site Map | Cities Site Map

Copyright 2003- 2016 QuinStreet, Inc. All Rights Reserved.