Credit analysts primarily analyse financial data from customers and businesses seeking credit or loans to estimate the likelihood that the bank or other lending or credit-granting organisation will not be repaid. A credit analyst’s profession entails a wide range of obligations and dangers.
Credit analyst responsibilities
- A credit analyst is responsible for evaluating a loan applicant’s application based on a variety of factors such as the objective of the application, credit viability, customer payment history, and customer creditworthiness.
- A credit analyst oversees important credit decisions, works with complex computer programmes to keep track of a customer’s credit history, and maintains financial records up to date.
- For the health of the economy, a credit analyst is essential: Banks, insurers, and companies will be unable to offer loans for business, housing, automobiles, and occasionally employee payrolls without the suggestion of a credit analyst.
Educational qualification?
A bachelor’s degree in finance, accounting, or a related discipline such as ratio analysis, statistics, economics, mathematics, financial statement analysis, and risk assessment is required for a job as a credit analyst. These topics are required for working as a credit analyst since they help with risk assessment.
Because measuring a company’s risk requires examining its surroundings, educational courses like industry and ratio analysis are required. Candidates may also pursue a postgraduate diploma in banking and finance to get professional and practical experience in these fields.