How To Become A Loan Servicing Specialist: What It Is and Career Path

What is a loan servicing specialist and how to become one

Updated January 8, 2025

4 min read

Loan servicing specialists are financing professionals who provide support to customers applying for personal loans. They manage the administrative aspects of loan applications and follow up with the clients regularly from the time the proceeds are dispersed until the loan is completely paid off.

Loan servicing specialists are in charge of sending and collecting monthly payments. They keep track of transaction records and see to it that taxes and insurance premiums are paid. They follow up on any missing amount and remit funds to the financial institution.

As a loan service specialist, you will work in a bank or a company specializing in loan servicing. Most of the time, you will be dealing with mortgages or student loans, and the bulk of the job will be anticipating the habits and expectations of borrowers and keeping records. You will carry out your tasks using appropriate software and your remuneration will derive from retaining a small percentage of every loan payment.

ScoreLoan Servicing SpecialistUS Average

Salary

5.1

Avg. Salary $65,799

Avg. Salary $59,228

Stability level

8.6

Growth rate -3%

Growth rate 0.3%

Diversity

8.0

Race

American Indian and Alaska Native 0.41%

Asian 8.25%

Black or African American 11.78%

Hispanic or Latino 14.42%

Unknown 4.43%

White 60.70%

Gender

female 67.82%

male 32.18%

Age - 41

Race

American Indian and Alaska Native 3.00%

Asian 7.00%

Black or African American 14.00%

Hispanic or Latino 19.00%

White 57.00%

Gender

female 47.00%

male 53.00%

Age - 41

Stress level

8.6

Stress level is very high

7.1 - high

Complexity level

6.9

Complexity level is challenging

7 - challenging

Work life balance

5.2

Work life balance is fair

6.4 - fair

Key steps to become a loan servicing specialist

Explore loan servicing specialist education requirements

Most common loan servicing specialist degrees

Bachelor's

54.6 %

Associate

23.4 %

High School Diploma

12.1 %

Start to develop specific loan servicing specialist skills

Skills	Percentages
Loan Modifications	17.34%
Customer Service	11.78%
Foreclosure Process	4.97%
Real Estate	3.75%
Loss Mitigation	3.73%

Complete relevant loan servicing specialist training and internships

Accountants spend an average of 1-2 years on post-employment, on-the-job training. New loan servicing specialists learn the skills and techniques required for their job and employer during this time. The chart below shows how long it takes to gain competency as a loan servicing specialist based on U.S. Bureau of Labor Statistics data and data from real loan servicing specialist resumes.

Gain additional loan servicing specialist certifications

Loan servicing specialist certifications can show employers you have a baseline of knowledge expected for the position. Certifications can also make you a more competitive candidate. Even if employers don't require a specific loan servicing specialist certification, having one may help you stand out relative to other applicants.

The most common certifications for loan servicing specialists include Certified Management Accountant (CMA) and Certified Billing and Coding Specialist (CBCS).

More About Certifications

Research loan servicing specialist duties and responsibilities

Manage the non-judicial and judicial FNMA foreclosure portfolio.
Time management and organization skills to effectively prioritize multiple objectives and achieve volume goals.
Coordinate and schedule settlements upon final loan approval and review HUD-1 for reconciliation of itemize financial data.
Train new hires in the MSP system to ensure they understand how to gather data and for escrow analysis.

Prepare your loan servicing specialist resume

When your background is strong enough, you can start writing your loan servicing specialist resume.

You can use Zippia's AI resume builder to make the resume writing process easier while also making sure that you include key information that hiring managers expect to see on a loan servicing specialist resume. You'll find resume tips and examples of skills, responsibilities, and summaries, all provided by Zippi, your career sidekick.

Choose from 10+ customizable loan servicing specialist resume templates

Build a professional loan servicing specialist resume in minutes. Browse through our resume examples to identify the best way to word your resume. Then choose from 10+ resume templates to create your loan servicing specialist resume.

Apply for loan servicing specialist jobs

Now it's time to start searching for a loan servicing specialist job. Consider the tips below for a successful job search:

Browse job boards for relevant postings
Consult your professional network
Reach out to companies you're interested in working for directly
Watch out for job scams

How do loan servicing specialists rate their job?

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Loan servicing specialist reviews

A zippia user wrote a review on Jul 2019

Pros

I enjoy over 31 years helping people to save there homes and pay there debt. I give options and remind them monthly when the payment is due. I have contact to help them and help the company I work for. Dealt with foreclose 31 years and help many customers. And the company in work for. Made customer comfortable to continue to pay there debt many miss informed. This job mad me feel good to help them and the company make it through. Being a lost mitigation specialist is difficult to reach out to the people I made it happen. Know my company sold out and I'm out of working at home. Please help me!!

Cons

I have nothing I did not like I enjoy my job and sad that I can't continue to collect. The company sold out.