What does a Loan Officer do?

Loan officers review, authorize, and recommend personal and commercial loans for approval. Loan officers meet with applicants in order to determine their creditworthiness. They usually work at mortgage companies, commercial banks, credit unions, and other financial institutions.

Most loan officers have a Bachelor's degree in business administration, finance, economics, or a related field, and are trained on the job. Residential mortgage loan officers must be licensed. Loan officers generally need strong sales and interpersonal skills.

What responsibilities are common for Loan Officer jobs?
  • Sell loan products and meet loan production targets
  • Perform business development tasks, including managing the pipeline by generating leads and referral business, and maintaining relationships with existing and past clients
  • Meet and communicate with applicants to explain the risks and benefits, as well as the terms of loan products and government regulations
  • Obtain relevant information and evaluate applicants' financial status, including credit history, debt-to-income ratio, and appraisal reports, to determine recommendation for loan approval
  • Ensure all necessary information and documentation is submitted to the loan underwriting department, and is recorded properly in electronic file format
  • Represent the employer at community events and host seminars
  • Maintain current knowledge of all applicable lending regulations, the economy, market rates, vendors, and competitors
  • Consistently deliver first-class customer service
What are the typical qualifications for Loan Officer jobs?
  • Associate's degree or Bachelor's degree in business administration, finance, economics, or a related field
  • 2+ years of experience in the mortgage lending, banking, or real estate industry
  • Strong Microsoft Office skills and ability to use relevant industry-specific computer programs, as well as calculators
  • Exceptional interpersonal skills and strong customer service orientation
  • Excellent written and verbal communication skills
  • NMLS license required
  • Ability to work both in a team and independently
EducationBachelor's Degree
Work/Life Balance
3.5 ★
Total Pay--
Career Opportunity
3.5 ★
Avg. Experience2-4 years

How much does a Loan Officer make?

Confident
$148,193 /yr
Total Pay
$101,269
 /yr

Base Pay

+
$46,924
 /yr

Additional Pay

$148,193

 / yr
$86K$269K
Most Likely Range
Possible Range
See More Insights

Loan Officer Career Path

Learn how to become a Loan Officer, what skills and education you need to succeed, and what level of pay to expect at each step on your career path.

Loan Officer
$148,193/yr
Senior Loan Officer
$215,684/yr
Loan Officer

Years of Experience Distribution

0 - 1
14%
2 - 4
74%
5 - 7
5%
8+
7%
Not including years spent in education and/or training

Loan Officer Insights

Read what Loan Officer professionals have to say about their job experiences and view top companies for this career.
U.S. BankU.S. Bank
Loan Officer
Sep 3, 2022

“Can be an amazing place to work and for the most part everyone is great.”

fiber.mortgagefiber.mortgage
Mortgage Loan Officer
Aug 24, 2020

“But the best part is helping people and all of the fun we have in the process.”

Texana BankTexana Bank
Mortgage Loan Officer
Jun 28, 2022

“I don't believe there are any pros working here besides the culture and good people.”

Innerworkings
Loan Officer
Nov 18, 2021

“The culture and outreach programs make this one of the best companies I can imagine working for.”

My Mortgage, Inc.My Mortgage, Inc.
Post Closer
Feb 28, 2022

“I have a great team and we work hard to make sure we keep it that way.”

New American FundingNew American Funding
Mortgage Loan Officer
Feb 17, 2022

“Training is based on real life client interactions and can be applied to everyday activities.”

USE Credit UnionUSE Credit Union
Loan Officer
Sep 1, 2022

“The training department was let go and not everyone is going to learn from a video.”

UpEquityUpEquity
Loan Officer
Mar 31, 2022

“Promotion was not based on merit but rather who the manager at the time liked.”

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Loan Officer Interviews

Frequently asked questions about the roles and responsibilities of a Loan Officer

When working as a Loan Officer, the most common skills you will need to perform your job and for career success are BS Degree, Negotiation, Business Writing, VERBAL Communication, and Interpersonal and Communication.

The most similar professions to Loan Officer are:
  • Underwriting Consultant
  • Loan Processor
  • Underwriter
  • Credit Analyst

The most common qualifications to become a Loan Officer include a minimum of a Bachelor's Degree and an average of 0 - 1 years of experience not including years spent in education and/or training.

Related Careers

Underwriting Consultant
$100,760
No skills overlap
Loan Processor
$59,611
25% skills overlap
Underwriter
$67,066
38% skills overlap
Credit Analyst
$62,550
25% skills overlap

Loan Officer Jobs