Loan Officer

Posted In: Mortgage Basics

Many consumers take out loans in order to afford major purchases and investments, such as buying a home. Loan Officers assist clients in applying for loans and structuring the loan package.

Responsibilities

A loan officer acts as intermediary between the lending institution for whom they work and borrowers who wish to obtain a loan from that institution. Mortgage loan officers represent banks or lenders who provide homeowners and buyers with residential mortgages, or companies with commercial mortgages. Mortgage loan officers often build relationships with real estate agencies to gain recommendations from real estate agents, who are in contact with consumers and/or firms buying property.

In addition to helping borrowers apply for loans, loan officers help verify their creditworthiness and likelihood of repaying the loan. Loan officers may also assist clients who find it difficult to qualify for traditional loans. They may help clients decide which loan is most suitable for them and explain loan details.

Licensing

Loan officers working in banks or credit unions currently do not have specific licensing requirements. Those working in mortgage banks or brokerages, though, may have specific licensing requirements as designated at a state level. While college education is not a requirement for the position, loan officers generally have a bachelor's degree in economics, finance, or a similar field.

Loan Officer versus Mortgage Planner

Loan officers provide a valuable service to both borrowers and lending institutions. However, borrowers who seek to compare multiple lenders and find the best long-term solution may be better served by an America's Lending Partner's Mortgage Planner. Our Mortgage Planners are experts who have undergone extensive training in home financing, real estate equity management and ethical business practices. They offer borrowers the choice benefits of a mortgage broker coupled with a long-term financial vision. They analyze a customer's current financial situation, help them formalize their long-term financial goals into an achievable plan, and recommend financing options and loan programs that help borrowers realize their extended objectives, and build their net worth.