A commercial lender issues loans for businesses or business investment that are backed by solid collateral. Usually these loans are for real estate property, however they can include non-conforming assets, factoring, or other sources of security. Commercial lenders evaluate, analyze, and interpret data regarding real property, investments, pricing, market stability, and future trends, by means of information provided within securities publications, financial material, and personal interviews. Lenders are responsible for processing loan data and credit information, analyzing and evaluating credit worthiness, and setting payment terms.
Commercial lenders also summarize data expressing current and long-term trends in investment risks, as well as calculable economic pressures relevant to the condition of investments. He or she may conduct research to further support decisions and make analyses to compare varying degrees of risk for potential losses. Commercial lenders may suggest alternative lending measures during unfavorable financial trends.
A combination of at least four years of lending training or previous work experience is required to become a commercial lender. An Associate’s, Bachelor’s, or Master’s degree in general business administration, economics, finance, or accounting is preferred. A strong background in business math, business law, and analytical and comparison skills is also recommended.
The typical average salary of an experienced commercial lender is about $92,500 per year. Starting salaries pay an average of about $59,000 per year.