How to Become a Commercial Loan Closer?

What do Commercial Loan Closers do?

A Commercial Loan Closer would typically need to:

• Understand the complete loan syndication lifecycle, from the initial pitch to the transaction closure.
• Interview prospective applicants and obtain specific loan or credit application information.
• Process loan requests generated by lending origination officers; notify lender and attorney of missing items or required adjustments, ensuring the accuracy of the attorney closing checklist
• Prepare loan packages in accordance with current document governance and compliance requirements for the lending origination officer’s evaluation.
• Arrange for property appraisals; verify that all fees are covered by the borrowers or lenders. If necessary, set up an escrow account.
• Ensure that loan submissions adhere to bank policies and procedures; collaborate with appropriate parties to handle any closing concerns, such as liens, judgements, insurance, and title exceptions.
• Obtain correct approval and paperwork for any indicated waivers, exclusions, or policy variances; if necessary, escalate issues to the commercial loan closer team head.
• Act as a liaison between escrow, title, and all interested parties; plan the final closing meeting, at which the closing statement and mortgage note are signed.
• Assemble and prepare closing documents, as well as verify their accuracy throughout the conclusion of real estate transactions; ensure the complete and correct collection of all fees at closing.
• After the sale has been completed, ensure that all documents are properly recorded and distributed.
• Assist lending origination personnel in reviewing and renewing credit facilities; maintain tickler files
• Notify loan officers when commercial accounts require current financial statements and other covenant elements.
• Check credit inquiries and universal commercial code (UCC) filings to establish creditworthiness.
• Loan disbursement requests, wire transfers, and payments for commercial credit and closing-related vendor services are processed; loans or other credit facilities are reconciled to bank records.
• Serve as a liaison between the front line and loan administration/operations, including the lender/portfolio manager and underwriting; support coworkers and teach new employees as needed.
• Interact with colleagues from various corporate finance units, other bank representatives, and corporate clients.
• Investigate the existing loan and debt financing markets.

Standard Work Environment

A Commercial Loan Closer often works from an office and may spend most of his or her working hours sitting at a desk. Professionals in this field would benefit from a business casual dress code.

Work Schedule

Commercial Loan Closers work full-time and have normal work schedules, except when there is a loan deadline that must be met.

Employers

Finding a new job may appear difficult. Commercial Finance Closers can improve their job search by soliciting referrals from their network, contacting firms directly, using job search platforms, attending job fairs, leveraging social media, and contacting staffing agencies.

Commercial Loan Closers are generally employed by:

• Mortgage Banking Companies
• Homebuilders
• Financial Institutions

Unions / Professional Organizations

Professional associations and organisations are essential for Commercial Loan Closers who want to advance their careers or interact with other professionals in their industry or sector. Membership in one or more of these organisations adds value to your CV while strengthening your credentials and qualifications.

Workplace Challenges

• A fast-paced environment with continual pressure to meet deadlines for closings
• The dissatisfaction is due to being unable to analyze issues in-depth and find solutions
• Under-appreciation of one’s role; unequal distribution of work; repetitive tasks
• Health issues due to sitting at a computer for most of the workday

Suggested Work Experience

Employers want applicants who have relevant banking expertise as well as the ability to understand and analyse loan and legal papers. Experience in commercial, real estate, and interim construction loans, as well as experience building and refinancing retail and residential structures, is also advantageous. The length of experience required varies according to the degree; a high school diploma necessitates more experience than post-secondary education.

Recommended Qualifications

A high school graduation is required for employment as a Commercial Loan Closer. Some employers, however, may prefer candidates with a postsecondary degree in finance, economics, business studies, accounting, banking, business administration, or a similar profession. Commercial loan closure certification programmes and classes are typically offered by trade schools and community colleges, but certain courses may be available online. Completing research and computer use classes in high school may assist aspiring loan closers prepare for a career in the area. Multilingual abilities may also improve career possibilities.

Certifications, Licenses and Registration

Voluntary accreditation from a reputable and objective organisation can assist Commercial Loan Closers in gaining a professional reputation, validating their knowledge, and increasing their confidence at work. A working knowledge of Microsoft Office Suite and Adobe is required.

Projected Career Map

A Commercial Loan Closer with adequate experience and expertise can advance to the position of Lending Originating Officer and then manage the Loan Closer Team. Moving to another institution that offers higher responsibility and salary may also constitute advancement.

Job Prospects

Candidates with strong customer service abilities and loan closing experience may have an advantage in the job market.

Beneficial Professional Development

On-the-job training is how most Commercial Loan Closers learn their job obligations. Formal technical training may also be required. Certification requires continual education to keep the label of ‘certified.’

Commercial Loan Closers with certification have an advantage in the job market. It will also benefit you if you keep up to date on all internal policies, procedures, and training, as well as external legislation and regulations.

Conclusion

Many people get off to a good start, but to succeed, you must have the whole package – not as an individual, but as a firm – to make someone’s genuine ambitions come true.

Advice from the Wise

Remember to maximise your efforts by following up with your customers. Maintain touch, but don’t be overbearing. Simply make yourself available by phone, email, or social media to contribute to the dialogue.

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