According to the United States Federal Reserve, American commercial banks held over $1,500 billion in commercial and industrial loans in December 2012. Commercial loan brokers would be crucial in the lending of this money to companies or individuals who need it for various purposes. In comparison to small business loans, lending and borrowing of commercial loans is a complex process. As a commercial loan broker, you need to have the all the right requirements to tackle the challenges that come with commercial loan brokerage.
A high school diploma is a sufficient education qualification for you to become a broker of loans. However, when dealing in commercial loans or mortgage brokerage, you need to undertake a four-year bachelor’s degree course in economics, finance, communications, psychology or business. The knowledge acquired in these courses would be integral in successfully analyzing the finances of your loan applicants. You would also need it in tasks such as reading and understanding financial statements.
Just like all loan officers, you need to undergo commercial loan broker training, which equips you with networking and mathematical analysis skills. Refresher courses or company-sponsored training initiatives are some of the ways of gaining access to training courses. Your ability to undergo training hinges upon the set requirements of your state. At the conclusion of the program, you have to take a test, which would enable you to get a license, such as the Mortgage Loan Originator. Such certifications can increase your employment opportunities.
Your work as a commercial loan consultant (a type of commercial loan broker) requires that you should have interpersonal, initiative and decision-making skills. Interpersonal skills are important when you are assisting the client to complete the loan application process successfully. You should also be able to answer their queries confidently and comprehensively. Initiative skills assist you to seek out customers or contact commercial loan lenders. Furthermore, you need financial literacy skills to enable you to assess an applicant’s financial information.
Your chances of clinching a job as a commercial loan broker can increase if you have prior experience in customer service, sales, lending or banking. Internships could be a great way of gaining work experience and kick starting your career in commercial loan brokerage. Your prospective employer could also be willing to put you on a training period, which introduces you to the tasks required of the occupation. Afterwards, you can work independently in fulfilling duties such as analyzing credit worthiness, counseling clients and evaluating loan applications.