Should I be a loan officer?

51% of Americans have taken out a loan.

Ever wonder how many of them need someone to explain the details of their loan?

If you find yourself clarifying complicated rules to others, you could be a talented loan officer.

Did you know?

The first loans were made thousands of years ago by farmers who would borrow seeds from an owner and promise to give them fruit as repayment (lendingtimes.com, "The Evolution of Credit: From Mesopotamia to Marketplace Lending", 2017).

What does a loan officer do?

A woman saying, 'I think I may be able to help you.'

A loan officer works with clients who want to borrow money. On a typical day, an officer will:

Make sure that people who want a loan can pay it back before giving out a loan.
Reassure and make their customers confident as they apply for their loans.
Fill out the necessary paperwork for the loan application.
Keep in contact with their clients and answer their questions.
Research market trends to see how they'll affect clients' financial prospects.

Quiz

Which of the following does a loan officer do?

Verify that the loans can be paid

Sell as many loans as possible

Find valuble stocks on the market

Help loan applicants apply for a loan

Where do they work?

Loan officers work wherever people look for loans!

Many officers work in banks.

Others work for mortgage companies helping people secure loans for homes.

A loan officer at a desk holding a tiny house model

Some officers even work at auto dealerships helping people with car loans.

Need a car? You need money!

Experienced loan officers might even work from home.

A home office with plants and a laptop on a desk

How much will you earn?

A woman saying, 'Let's talk

A loan officer's average annual salary in the US was $63,960 in 2020. The bottom 10 percent of officers made an average of less than $33,650 while the top 10 percent made more than $133,850.

Job outlook has seen little change over time. There's never a bad time to start!

You'll love being a loan officer if...

A person saying, 'I've trained for this.'

You're comfortable solving math problems.
You're good at explaining complicated rules to others unfamiliar with any of the rules.
You're outgoing and ready to talk to anyone about potential financial futures.
You enjoy collecting data to demonstrate your point.

Take Action

A woman saying, 'I wanna be part of it.'

If the idea of helping people borrow money feels right, you can make it happen!

Find work-study opportunities in a bank or another financial institution.

Seek out the requirements and exams you need to pass to become a loan officer.

Ask your friends or family to practice, how much money would they need to borrow for their dream?

Find non-profits or other organizations that need financial advice and help them.