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Commercial banker vs loan officer

The differences between commercial bankers and loan officers can be seen in a few details. Each job has different responsibilities and duties. It typically takes 4-6 years to become both a commercial banker and a loan officer. Additionally, a commercial banker has an average salary of $78,697, which is higher than the $45,817 average annual salary of a loan officer.

The top three skills for a commercial banker include customer service, business development and treasury. The most important skills for a loan officer are customer service, origination, and loan origination.

Commercial banker vs loan officer overview

Commercial BankerLoan Officer
Yearly salary$78,697$45,817
Hourly rate$37.84$22.03
Growth rate4%4%
Number of jobs45,27063,663
Job satisfaction-4.5
Most common degreeBachelor's Degree, 77%Bachelor's Degree, 61%
Average age4545
Years of experience66

What does a commercial banker do?

A commercial banker is responsible for providing financial advice and selling financial instruments to corporate clients according to their business needs and specifications. Commercial bankers process the opening and registration of corporate client accounts, updating the clients with current financial services, and resolving account disputes. They also manage investment options and identify opportunities that would help the bank gain more prospective clients that would increase the company's revenues and profitability. A commercial banker must have excellent knowledge of the banking industry to determine banking solutions for clients for their best interests.

What does a loan officer do?

Loan officers are responsible for assisting borrowers on the best type of loans to avail and guiding the clients throughout the application process. A loan officer must be highly knowledgeable about different lending products, payment plans, loan regulations, and essential files for fast loan approval. Loan officers also act as the first point of contact, conducting an initial screening of the customers, process loan contracts and appropriate documentation, update account records, and respond to customer's inquiries. A loan officer also has the right to reject loan applicants who do not meet loan qualifications.

Commercial banker vs loan officer salary

Commercial bankers and loan officers have different pay scales, as shown below.

Commercial BankerLoan Officer
Average salary$78,697$45,817
Salary rangeBetween $51,000 And $121,000Between $30,000 And $69,000
Highest paying CitySeattle, WANew York, NY
Highest paying stateNew MexicoNew York
Best paying companyNorthern TrustBangor Savings Bank
Best paying industryFinanceFinance

Differences between commercial banker and loan officer education

There are a few differences between a commercial banker and a loan officer in terms of educational background:

Commercial BankerLoan Officer
Most common degreeBachelor's Degree, 77%Bachelor's Degree, 61%
Most common majorBusinessBusiness
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Commercial banker vs loan officer demographics

Here are the differences between commercial bankers' and loan officers' demographics:

Commercial BankerLoan Officer
Average age4545
Gender ratioMale, 63.5% Female, 36.5%Male, 55.3% Female, 44.7%
Race ratioBlack or African American, 9.7% Unknown, 4.7% Hispanic or Latino, 14.7% Asian, 6.6% White, 63.8% American Indian and Alaska Native, 0.5%Black or African American, 9.0% Unknown, 4.6% Hispanic or Latino, 15.7% Asian, 6.3% White, 63.9% American Indian and Alaska Native, 0.5%
LGBT Percentage8%8%

Differences between commercial banker and loan officer duties and responsibilities

Commercial banker example responsibilities.

  • Establish leads by building upon existing clientele and developing relationships with major centers of influence including CPA's and attorneys.
  • Manage and develop commercial lenders and administrative assistants.
  • Manage commercial customer portfolios by using profile analysis to identify cross-sell opportunities to sell other products and services.
  • Manage origination initiatives associate with business accounts, treasury products, and loans while adhering to bank compliance procedures.
  • Develop strategies for optimal cash flow optimization through complex treasury and cash management solutions couple with appropriate credit instruments.
  • Train processors, establish compliance policy, establish and maintain business relationships with lenders and builders.
  • Show more

Loan officer example responsibilities.

  • Manage a multifacete commercial real estate investment firm.
  • Supervise and manage the processing staff and also underwrite conventional loans for correspondent lenders.
  • Follow up leads for refinance loans gather all applications and necessary paperwork to qualify applicants from origination to close of escrow.
  • Analyze available resources to determine suitable mortgage products (FHA, FNMA/FHLC) to meet clients' purchasing or refinancing goals.
  • Originate and process various loan products including government, conventional, portfolio, construction, USDA mortgages, home equity line/loans.
  • Originate FHA, VA, conventional, jumbo, and USDA loans, according to specific lender guidelines in broker environment.
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Commercial banker vs loan officer skills

Common commercial banker skills
  • Customer Service, 9%
  • Business Development, 8%
  • Treasury, 8%
  • Commercial Banking, 7%
  • Client Relationships, 6%
  • Financial Services, 5%
Common loan officer skills
  • Customer Service, 17%
  • Origination, 13%
  • Loan Origination, 5%
  • FHA, 5%
  • NMLS, 5%
  • Loan Products, 4%

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