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Consumer loan underwriter vs credit officer

The differences between consumer loan underwriters and credit officers can be seen in a few details. Each job has different responsibilities and duties. While it typically takes 4-6 years to become a consumer loan underwriter, becoming a credit officer takes usually requires 1-2 years. Additionally, a credit officer has an average salary of $129,478, which is higher than the $53,525 average annual salary of a consumer loan underwriter.

The top three skills for a consumer loan underwriter include financial statements, loan applications and strong analytical. The most important skills for a credit officer are risk management, credit risk, and credit analysis.

Consumer loan underwriter vs credit officer overview

Consumer Loan UnderwriterCredit Officer
Yearly salary$53,525$129,478
Hourly rate$25.73$62.25
Growth rate4%17%
Number of jobs17,49560,323
Job satisfaction--
Most common degreeBachelor's Degree, 66%Bachelor's Degree, 69%
Average age4539
Years of experience62

What does a consumer loan underwriter do?

A consumer loan underwriter, or often known as a loan officer, is a financial professional who works at a credit union or other financial institution to approve or disapprove loans to clients. Consumer loan underwriters must review and verify the information provided by loan applicants and then decide on approving or denying a loan according to the policies of the institution. They must determine maximum loss potential by identifying all loans that are associated with a borrower where fraud may have occurred. Consumer loan underwriters must also demonstrate experience in underwriting conventional and FHA loans.

What does a credit officer do?

A credit officer is responsible for evaluating financial documents and account statements to determine the eligibility of an applicant for a loan option. Credit officers communicate with the applicant to discuss the loan process, explain the terms of service, and provide them alternative options that would fit their payment ability and loan needs. They create financial reports and recommend the qualified applicant to the manager for approval. A credit officer should have excellent communication and analytical skills, ensuring that the loan policies adhere to the federal and state regulations.

Consumer loan underwriter vs credit officer salary

Consumer loan underwriters and credit officers have different pay scales, as shown below.

Consumer Loan UnderwriterCredit Officer
Average salary$53,525$129,478
Salary rangeBetween $37,000 And $76,000Between $85,000 And $196,000
Highest paying CityNew York, NYNew York, NY
Highest paying stateNew YorkNew York
Best paying companyMarcus & MillichapFarm Credit System
Best paying industryFinanceFinance

Differences between consumer loan underwriter and credit officer education

There are a few differences between a consumer loan underwriter and a credit officer in terms of educational background:

Consumer Loan UnderwriterCredit Officer
Most common degreeBachelor's Degree, 66%Bachelor's Degree, 69%
Most common majorBusinessBusiness
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Consumer loan underwriter vs credit officer demographics

Here are the differences between consumer loan underwriters' and credit officers' demographics:

Consumer Loan UnderwriterCredit Officer
Average age4539
Gender ratioMale, 42.6% Female, 57.4%Male, 64.4% Female, 35.6%
Race ratioBlack or African American, 9.2% Unknown, 4.6% Hispanic or Latino, 15.9% Asian, 6.4% White, 63.5% American Indian and Alaska Native, 0.5%Black or African American, 8.0% Unknown, 2.7% Hispanic or Latino, 9.7% Asian, 10.7% White, 68.6% American Indian and Alaska Native, 0.3%
LGBT Percentage8%11%

Differences between consumer loan underwriter and credit officer duties and responsibilities

Consumer loan underwriter example responsibilities.

  • Ensure proper coding are accomplished by determining the appropriate code in accordance with ICD-9 and CPT guidelines.
  • Innovate technical solutions, including development of complex macros within MSP, to automate work and reduce manual processes
  • Manage a pipeline of fund TRID loans for completeness so they can be deliver and purchase by the required investor.
  • Manage the organization's HMDA data and accurately complete the government reporting annually.
  • Render underwritten decisions and subsequently clear conditions per underwriting policies and procedures, including knowledge of FNMA and FMLMC guidelines.
  • Generate and distribute IRB committee meeting minutes in accordance with appropriate federal regulations.
  • Show more

Credit officer example responsibilities.

  • Manage credit risk and provide independent oversight of the bank portfolio.
  • Manage the global function for an ERP software company that has a niche market in manufacturing companies.
  • Manage SBA construction/tenant improvement projects submit until project is completed.
  • Partner with small and entrepreneurial business to develop business plans and assist business owners with achieving payroll.
  • Review clients file for compliance with: CIP, OFAC, HMDA, CRA and red flag activities.
  • Audit applications for HUD and IHDA compliance.
  • Show more

Consumer loan underwriter vs credit officer skills

Common consumer loan underwriter skills
  • Financial Statements, 12%
  • Loan Applications, 11%
  • Strong Analytical, 8%
  • Credit Reports, 7%
  • Credit Decisions, 6%
  • Compliance Reviews, 4%
Common credit officer skills
  • Risk Management, 10%
  • Credit Risk, 7%
  • Credit Analysis, 5%
  • Real Estate, 4%
  • Credit Approval, 4%
  • Portfolio Management, 4%

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