What is a Credit Analyst?

We have all heard of the banking crisis which led to the stock market crash in 2008. The Federal National Mortgage Association, purchasing risky mortgages from banks, and banks in turn repackaging them into mortgage-backed securities (MBS) for investors to purchase. The relaxing of the lending standards offered loans to those who could not afford them. Eventually, when house prices decreased, highly leveraged banks and investors got affected, due to borrowers defaulting on their loans and, thus, bursting the bubble.

Determining the creditworthiness of a borrower is the duty of a credit analyst. Basically, they are in charge of determining your default rate. Daily, a credit analyst will be tasked with assessing financial records, such as earnings and savings, perform account reconciliations, develop data programming, and manage underwriting guidelines. Besides that, they also create portfolio management strategies, write reports, and analyze market factor correlations.

Employers require credit analysts to have a bachelor's degree that is business-related, such as finance, accounting, or economics. A degree in mathematics would also be accepted, if you can also demonstrate fundamental business knowledge. A credit analyst earns, on average, $28 per hour and this position is suitable for those who have strong analytical skills.

What Does a Credit Analyst Do

There are certain skills that many credit analysts have in order to accomplish their responsibilities. By taking a look through resumes, we were able to narrow down the most common skills for a person in this position. We discovered that a lot of resumes listed computer skills, detail oriented and integrity.

Learn more about what a Credit Analyst does

How To Become a Credit Analyst

If you're interested in becoming a credit analyst, one of the first things to consider is how much education you need. We've determined that 65.1% of credit analysts have a bachelor's degree. In terms of higher education levels, we found that 9.4% of credit analysts have master's degrees. Even though most credit analysts have a college degree, it's possible to become one with only a high school degree or GED.

Learn More About How To Become a Credit Analyst

Credit Analyst Job Description

A credit analyst is a financial professional in charge of analyzing the credit worthiness of a business's clients. Their duties include conducting research, undertaking risk analysis, and helping design better policies and procedures.

Learn more about Credit Analyst Job Description
Top Credit Analyst Jobs Near You

Credit Analyst Career Paths

In addition to switching up your job search, it might prove helpful to look at a career path for your specific job. Now, what's a career path you ask? Well, it's practically a map that shows how you might advance from one job title to another. Our career paths are especially detailed with salary changes. So, for example, if you started out with the role of finance analyst you might progress to a role such as manager eventually. Later on in your career, you could end up with the title group vice president.

Credit Analyst

Top Careers Before Credit Analyst

Customer Service Representative(209,515 Jobs)
19.5 %
Administrative Assistant(65,769 Jobs)
7.1 %
Cashier(456,110 Jobs)
7.1 %

Top Careers After Credit Analyst

Customer Service Representative(209,515 Jobs)
13.0 %
Senior Credit Analyst(15,221 Jobs)
9.4 %
Credit Manager(63,898 Jobs)
6.9 %

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Average Salary for a Credit Analyst

Credit Analysts in America make an average salary of $61,422 per year or $30 per hour. The top 10 percent makes over $93,000 per year, while the bottom 10 percent under $40,000 per year.
Average Credit Analyst Salary
$61,422 Yearly
$29.53 hourly
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Roles and Types of Credit Analyst

The role of a credit analyst includes a wide range of responsibilities. These responsibilities can vary based on an individual's specific job, company, or industry.Here are some general credit analyst responsibilities:

  • Collects customer information for the credit approval process for review, approval, or denial of credit. Assists in the development
  • Uses various reporting services to compile reports on clients. Researches
  • Assist with managing the credit risk

There are several types of credit analyst, including:

Analyst

Role:

An analyst can work in many different industries. So if you're looking for a position with endless job possibilities, then you've come to the right place. Who knows, the job might even come with a sweet salary, but you'll have to keep reading to find out.

Typically, an analyst will work in an office. They'll analyze data and make informed decisions based on the information they collect. An analyst might have a financial background or they might be a management analyst. Maybe you want to be a market research analyst or a news analyst. Either way, you've got to be good at making decisions.

The majority of analysts work a full-time position of 40 hours a week. Although, it isn't unheard of for analysts to work more than that. Did someone say overtime?
  • Average Salary: $73,007
  • Degree: Bachelor's Degree

Investment Analyst

Role:

Having good data and thorough analysis is critical to making sound investments. If you work as an investment analyst, you'll be able to ensure that these sound investment decisions are made by collecting information and performing research. Based on this research, you'll analyze assets such as stocks, bonds, currencies, and commodities. The research you perform will then be presented to investment managers, who use the information to sell investments to individual clients and the public at large.

As an investment analyst, you may work for many types of firms in the securities industry, including brokerages, banks, money management firms, hedge funds, and pension funds. If you're looking to get into this profession, you need to be prepared to work long hours and travel frequently. In addition, you'll assess the performance of stocks and bonds and analyze profit and loss sheets and companies' accounts.

To become an investment analyst, you need a Bachelor's degree in finance, economics, accounting, statistics, or a related field. With a Bachelor's degree, you'll qualify for entry-level jobs in the investment industry, like a junior analyst.
  • Average Salary: $79,056
  • Degree: Bachelor's Degree

Credit And Collections Analyst

Role:

A credit and collection analyst assesses a person's or company's risk in terms of extending credit and collecting repayments. A credit and collection analyst has the role of reviewing a customer's financial history, financial statement, and any other information related to collecting a line of credit. They help coordinate collections calls and also work with customers to help repayments happen, create payment plans for outstanding debts, and assist in handling account discrepancies. The analysts also reach out to financial institutions and clients to collect documents necessary for the resolution process. Plus, he/she updates the clients' information on the database, analyzes the terms of service, and responds to their inquiries.

A credit and collection analyst must possess varieties of skills because of the work they do. These include the ability to work with both the borrower and the lender. They must also possess strong math skills and excellent people skills. Alongside these skills, you must be able to understand circumstances, read people, and demonstrate. The educational requirement is a minimum of a high school diploma, although getting a degree in accounting or mathematics is highly regarded and preferable. On average, a credit and collection analyst earns $45,275 a year.

  • Average Salary: $49,262
  • Degree: Bachelor's Degree
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States With The Most Credit Analyst Jobs

Mouse over a state to see the number of active credit analyst jobs in each state. The darker areas on the map show where credit analysts earn the highest salaries across all 50 states.

Average Salary: Job Openings:

Number Of Credit Analyst Jobs By State

RankStateNumber of JobsAverage Salary
1California1,787$65,846
2New York1,353$101,509
3Texas1,338$52,365
4Florida848$56,804
5Virginia816$68,610
6Illinois788$59,763
7Pennsylvania593$69,479
8Massachusetts551$75,930
9Ohio541$60,087
10North Carolina520$65,469
11Maryland517$69,356
12New Jersey495$74,225
13Georgia461$52,803
14Colorado417$57,831
15Arizona396$49,805
16Michigan381$53,515
17Washington363$60,958
18Minnesota329$63,273
19Indiana291$48,345
20Missouri280$47,179
21Wisconsin253$57,205
22Tennessee241$47,012
23Oregon206$60,398
24Alabama189$53,867
25Connecticut178$75,385
26Utah175$43,609
27South Carolina143$54,568
28Iowa130$59,976
29Kansas126$52,468
30Kentucky110$55,197
31Louisiana109$42,563
32Delaware104$76,318
33Nebraska98$50,782
34Nevada95$62,025
35Arkansas89$45,329
36Rhode Island80$71,499
37Idaho74$42,866
38Oklahoma73$44,715
39New Mexico67$47,793
40Hawaii63$49,352
41New Hampshire61$75,141
42North Dakota55$56,075
43Mississippi54$44,673
44Montana52$54,428
45South Dakota49$55,960
46Alaska44$46,699
47Maine42$62,679
48West Virginia36$63,227
49Vermont34$72,486
50Wyoming28$66,344

Credit Analyst Education

Credit Analyst Majors

Business
35.5 %
Finance
18.8 %
Accounting
13.7 %

Credit Analyst Degrees

Bachelors

65.1 %

Associate

13.8 %

Masters

9.4 %

Top Colleges for Credit Analysts

1. University of Pennsylvania

Philadelphia, PA • Private

In-State Tuition

$55,584

Enrollment

10,764

Admissions
Most Popular Majors
Education
Finance
Business
Economics
Political Science

2. Northwestern University

Evanston, IL • Private

In-State Tuition

$54,568

Enrollment

8,451

Admissions
Most Popular Majors
Business
Economics
Liberal Arts
Communication
Psychology

3. University of Southern California

Los Angeles, CA • Private

In-State Tuition

$56,225

Enrollment

19,548

Admissions
Most Popular Majors
Business
Computer Science
Education
Communication
General Education, Specific Areas

4. SUNY at Binghamton

Vestal, NY • Private

In-State Tuition

$9,808

Enrollment

13,990

Admissions
Most Popular Majors
Economics
Accounting
Psychology
Computer Science
Business

5. Villanova University

Villanova, PA • Private

In-State Tuition

$53,308

Enrollment

6,819

Admissions
Most Popular Majors
Business
Finance
Human Resources Management
Communication
Accounting

6. San Diego State University

San Diego, CA • Private

In-State Tuition

$7,488

Enrollment

30,018

Admissions
Most Popular Majors
Business
Education
Psychology
Liberal Arts
Criminal Justice

7. Bentley University

Waltham, MA • Private

In-State Tuition

$49,880

Enrollment

4,177

Admissions
Most Popular Majors
Accounting
Finance
Business
Marketing
Communication

8. Boston University

Boston, MA • Private

In-State Tuition

$53,948

Enrollment

17,238

Admissions
Most Popular Majors
Business
Education
Communication
Economics
Computer Science

9. SUNY Stony Brook

Stony Brook, NY • Private

In-State Tuition

$9,625

Enrollment

17,407

Admissions
Most Popular Majors
Business
Psychology
Education
Economics
Liberal Arts

10. New York University

New York, NY • Private

In-State Tuition

$51,828

Enrollment

26,339

Admissions
Most Popular Majors
Liberal Arts
Business
Education
Economics
Psychology

Top Skills For a Credit Analyst

The skills section on your resume can be almost as important as the experience section, so you want it to be an accurate portrayal of what you can do. Luckily, we've found all of the skills you'll need so even if you don't have these skills yet, you know what you need to work on. Out of all the resumes we looked through, 12.4% of credit analysts listed customer service on their resume, but soft skills such as computer skills and detail oriented are important as well.

  • Customer Service, 12.4%
  • Credit Analysis, 7.4%
  • Customer Accounts, 4.5%
  • Real Estate, 4.3%
  • Credit Risk, 4.2%
  • Other Skills, 67.2%

Choose From 10+ Customizable Credit Analyst Resume templates

Zippia allows you to choose from different easy-to-use Credit Analyst templates, and provides you with expert advice. Using the templates, you can rest assured that the structure and format of your Credit Analyst resume is top notch. Choose a template with the colors, fonts & text sizes that are appropriate for your industry.

Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume
Credit Analyst Resume

Credit Analyst Demographics

Credit Analyst Gender Distribution

Female
Female
56%
Male
Male
44%

After extensive research and analysis, Zippia's data science team found that:

  • Among credit analysts, 55.8% of them are women, while 44.2% are men.

  • The most common race/ethnicity among credit analysts is White, which makes up 69.4% of all credit analysts.

  • The most common foreign language among credit analysts is Spanish at 52.7%.

Online Courses For Credit Analyst That You May Like

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1. Predicting Credit Card Fraud with R

coursera

Welcome to Predicting Credit Card Fraud with R. In this project-based course, you will learn how to use R to identify fraudulent credit card transactions with a variety of classification methods and use R to generate synthetic samples to address the common problem of classification bias for highly imbalanced datasets—the class of interest (fraud) represents less than 1% of the observations. Class imbalance can make it difficult to detect the effect independent variables have on fraud,...

See More on Coursera

2. Term-Structure and Credit Derivatives

coursera

This course will focus on capturing the evolution of interest rates and providing deep insight into credit derivatives. In the first module we discuss the term structure lattice models and cash account, and then analyze fixed income derivatives, such as Options, Futures, Caplets and Floorlets, Swaps and Swaptions. In the second module, we will examine model calibration in the context of fixed income securities and extend it to other asset classes and instruments. Learners will operate model...

See More on Coursera

3. Credit Risk Analysis

udemy
4.1
(314)

All you want to know about Credit Specific Risk Analysis from a Bankers and Analyst Perspective...

See More on Udemy
Show More Credit Analyst Courses
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Part Time
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Best States For a Credit Analyst

Some places are better than others when it comes to starting a career as a credit analyst. The best states for people in this position are New York, Delaware, Massachusetts, and Connecticut. Credit analysts make the most in New York with an average salary of $101,509. Whereas in Delaware and Massachusetts, they would average $76,318 and $75,930, respectively. While credit analysts would only make an average of $75,385 in Connecticut, you would still make more there than in the rest of the country. We determined these as the best states based on job availability and pay. By finding the median salary, cost of living, and using the Bureau of Labor Statistics' Location Quotient, we narrowed down our list of states to these four.

1. New York

Total Credit Analyst Jobs: 1,353
Highest 10% Earn:
$158,000
Location Quotient:
1.84

$101,509

Avg. Salary

View 1,353 Credit Analyst Jobs In NY

2. Delaware

Total Credit Analyst Jobs: 104
Highest 10% Earn:
$119,000
Location Quotient:
1.44

$76,318

Avg. Salary

View 104 Credit Analyst Jobs In DE

3. District of Columbia

Total Credit Analyst Jobs: 274
Highest 10% Earn:
$121,000
Location Quotient:
2.84

$77,048

Avg. Salary

View 274 Credit Analyst Jobs In DC
Full List Of Best States For Credit Analysts

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Top Credit Analyst Employers

Most Common Employers For Credit Analyst

RankCompanyAverage SalaryHourly RateJob Openings
1Citi$101,693$48.89640
2JPMorgan Chase & Co.$98,126$47.18497
3American Express$97,695$46.97482
4Ford Motor$94,781$45.57164
5Macy's$89,115$42.8497
6TD Auto Finance$88,485$42.5489
7Fifth Third Bank$84,785$40.7690
8Discover$79,152$38.05224
9Capital One$74,338$35.74105
10U.S. Bank$73,043$35.12267
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Credit Analyst Videos

Credit Analysis Manager, Career Video from drkit.org

Becoming a Credit Analyst FAQs

How Do I Become A Credit Analyst?

To become a credit analyst requires an associate or bachelor's degree in finance, accounting, or a related field. To work as a credit analyst, you must have developed technical skills to analyze financial information and evaluate the risk associated with offering a loan or credit.

How Long Does It Take To Become A Credit Analyst?

It takes about three to four years to become a credit analyst. Most credit analysts have a four-year degree. In some cases, having a two-year degree and at least one to two years of work experience is all you need to begin your career as a credit analyst.

Is A Credit Analyst A Good Job?

Yes, being a credit analyst is a good job. One of the biggest advantages is that credit analysts are given the freedom to work for virtually any company offering financing plans for products or services. Credit analysts also bring home a solid salary with good benefits and the opportunity for advancement and job growth.

What Does It Take To Become A Credit Analyst?

To become a credit analyst, you will need the right educational and training experience.

To help you to develop your skills and gain the credibility needed to land an entry-level position as a credit analyst, you must have at least a bachelor's degree and a strong understanding of the technical skills needed to analyze financial information and evaluate the risk associated with offering a loan or credit.

What Skills Does A Credit Analyst Need?

The skills needed to be a credit analyst include being skilled in several areas, such as financial analysis, due diligence, multitasking, and attention to detail. The skills can not really be learned in school; rather, they require formal training and work experience.

Have more questions? See all answers to common business and financial questions.

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Updated February 6, 2023