Job Duties and Responsibilities
The scope of the job duties and responsibilities for the Loan Counselor is dependent
upon the institution they are employed by. Most commonly they work in the "front
end" or "back end". The Loan Counselor employed in the front end most commonly assists
persons who have difficulty in obtaining traditional loans and helps them to find
alternatives that are in the best interest of not only the borrower but the lending
institution. The Loan Counselor employed in the back end is more likely to be assisting
persons having difficulty repaying their loans.
The Loan Counselor traditionally works in an environmentally controlled office,
and generally has a 40 hour work week. The Loan Counselor employed by debt resolution
companies, or by mortgage firms and employed on the "back end" may find they are
required to work in shifts and on weekends in order to speak with clients with delinquent
loans. Shift work is common within the debt resolution and collection environment.
However the Loan Counselor employed by a banking institution, normally keeps a traditional
office schedule and Monday through Friday work week.
Employment Outlook and Opportunities
The Loan Counselor usually finds employment within a banking or mortgage company
setting or private loan resolution companies. According to a 2006 US Department
of labor report 90% of all Loan Counselors were employed by banking or mortgage
firms or private loan resolution firms.
Job growth for the Loan Counselor and loan officer professions is predicted to be
about as fast as average, with the Loan Counselor career choice having a small lead
due to the recent real estate downturn and the difficulty many persons are having
in repaying loans. However overall throughout the next seven years through 2016
job growth and appointment opportunities are expected to average out to about normal.
How much does a Loan Counselor make - Loan Counselor Salaries and Wages
Earnings for Loan Counselors with 1 to 4 years experience were reported to
be in the $29,092 and $39,953 per year range.
Earnings for Loan Counselors with 5 to 9 years experience were reported to
be in the $33,430-$52,394 per year range.
Earnings for Loan Counselors with 10 to 19 years experience were reported
to be in the $26,452-$54,700 per year range.
How to Become a Loan Counselor
Education for Loan Counselors
Banking institutions and "front end" loan counseling are some of the more desirable
jobs for the Loan Counselor professional. Most banking institutions require at least
a bachelors degree and it is preferred that it be in economics, finances or a business
At this point in time no licensure or certification requirements are in place for
the Loan Counselor. For the Loan Counselor involved in "back end" collections the
knowledge of HUD rules and regulations is normally required.
A primary skill for the person considering a Loan Counselor career is the ability
to communicate with others. They should also have a degree of proficiency with computers
and software. Loan Counselors employed within banking institutions will also require
the ability to learn new and specialized software for assisting in assessing loan
The career advancement path for the Loan Counselor usually involves promotion to
positions where they supervise others. Attaining advanced degrees will assist in
this career advancement path.
For the individual who wishes to pursue a career as a Loan Counselor there are links
provided on this site to schools offering Loan Counselor degree programs.
Loan Counselor Resources
MBA Mortgage Bankers Association