Career Definition for Commercial Credit Analysts
|Degree Level||bachelors' degree|
|Degree Field(s)||Business, finance, economics, or accounting|
|Key Skills||Good communication, decision-making, and interpersonal skills; quantitative thinking and the ability to work with a large number of variables|
|Job Outlook (2018-2028)||5% growth|
|Median Annual Salary (2018)||$71,520|
Sources: U.S. Bureau of Labor Statistics
Commercial credit analysts evaluate the credit worthiness of businesses and determine their ability to repay loans and lines of credit, including those used to purchase equipment and other goods. Their responsibilities include developing financial profiles and investigating credit histories. Before reaching a decision, analysts also compare how much cash and liquid assets a business has on hand with how much it owes. Commercial credit analysts are usually employed by banks, government agencies, or other commercial lenders.
Most commercial credit analysts have bachelors' degrees in business, finance, economics, or accounting. As undergraduates, they may take courses in business, risk management, mathematics, and statistics. Training in the use of common industry software and information technology can also be helpful.
Commercial credit analysts are quantitative thinkers with the ability to work with a large number of variables and make complex decisions. Good communication and interpersonal skills are essential to working as a member of a team and interacting with management and clients.
Career and Salary Outlook
According to the U.S. Bureau of Labor Statistics (BLS), employment of credit analysts in general will grow by a fast-as-average rate of 5% nationwide between 2018 and 2028. As reported by the BLS, credit analysts earned a median income of $71,520 in May 2018 (www.bls.gov).
Alternate Career Options
Similar career options in this field include working as a credit counselor, or financial examiner.
Credit counselors help businesses and consumers manage their debts, and their activities may include providing clients with information about loan types and requirements. They may also advise clients and organizations on matters related to bankruptcy, budgets, and mortgages. Qualified graduates usually have a bachelor's degree in a relevant field of study; training typically takes place on the job.
According to the BLS, this is a faster-than-average growing field, and credit counselors can look forward to a 9% increase in opportunities nationwide from 2018 through 2028. As of May 2018, credit counselors were paid a median annual wage of $45,180, as reported by the BLS (www.bls.gov).
Financial examiners, like commercial credit analysts, may also evaluate the riskiness of potential loans, as well as make sure that financial organizations and transactions are in compliance with industry-related, federal, and state laws. Completion of a bachelor's degree program that includes some courses in accounting is the usual requirement for obtaining an entry-level position; new examiners typically train alongside more senior-level professionals.
From 2018 to 2028, the BLS has projected a 7%, or faster-than-average, growth in jobs nationwide for financial examiners, who earned median annual salaries of $80,180 in May 2018 (www.bls.gov).
In summary, commercial credit analysts help determine whether businesses can repay loans and other debts. The career generally requires a business-related bachelor's degree and strong quantitative skills.