LOAN AND CREDIT CLERKS California Occupational Guide Number 526 Interest Area 7 1995
LOAN AND CREDIT CLERKS process loan and credit applications for major consumer purchases, such as homes, motor vehicles, pleasure cruises or home appliances. They perform a variety of clerical functions. Job duties, along with job titles, vary with individual employers and the size and nature of the business. Credit Clerks interview applicants or review credit applications to obtain personal and financial data. They call or write to other credit bureaus, employers, and personal references to verify information. They compare credit limits, considering such factors as applicant's assets, credit history and personal references with standard credit limits. Clerks notify customers by mail, telephone, or in person of acceptance or rejection of their application. They record credit transactions, deposits and payments. They may send letters or call customers about overdue accounts and accept payment on accounts. They may solicit business by sending form letters and brochures to prospective customers. Clerks may also adjust incorrect credit charges and compute interest and payments, using small business machines such as adding machines or calculators.
Most Loan and Credit Clerks work for banks, credit unions, savings and loan and mortgage firms. Many of them also work in retail sales and for credit card companies. Credit Clerks may belong to unions that represent the industry that employs them such as the Department Store Employees Union.
Clerks must interact tactfully and skillfully with customers who do not understand loan agreements and terms or who may be upset because of failure or inability to make timely payments. They sit for long periods of time, mostly at computer terminals that can cause eye strain.
The following information is from the California Projections of Employment published by the Labor Market Information Division.
Estimated number of workers in 1990 18,480 Estimated number of workers in 2005 22,180 Projected Growth 1990-2005 20% Estimated openings due to separations by 2005 1,670
(These figures do not include self-employment nor openings due to turnover.)
The number of Loan and Credit Clerks is expected to grow faster than the average of all occupations. Job openings will also occur as workers leave the labor force or change occupations. However, the use of electronic data processing equipment could reduce the number of clerks needed as more firms convert to high-tech electronic data processing equipment -- equipment that automatically calculates loan transactions formerly done with standard calculators.
The employment outlook for experienced clerks is expected to be good over the next several years. This assumes that the economy will remain healthy and that interest rates will not rise significantly. Consumer use of credit, along with the demand for Credit Clerks, is closely linked to the ups and downs of the economy. Those seeking their first Credit Clerk job will face competition because there are many people with the desired basic qualifications. Also, many firms fill Credit Clerk positions with existing employees and do not recruit outside the organization.
WAGES, HOURS, AND FRINGE BENEFITS
The starting salary range for Loan and Credit Clerks ranges from $4.75 to $16.25 an hour. Experienced clerks earn from $5.50 to $18.25 an hour, while journey level clerks with three years or more with the same employer make between $6.00 and $20.50 an hour or more. Some employers pay extra for work performed on Sundays or holidays. Most clerks work full-time, but employers also hire part-time workers. Loan and Credit Clerks may be expected to work both day and evening hours and weekends. This is especially true for those employed in retail stores where clerks must be available during business hours. In large credit card centers, Credit Clerks may have to work rotating shifts in order to ensure 24-hour coverage.
Paid vacations, sick leave and holidays and medical, dental and vision insurance are among the fringe benefits offered by many employers. Retirement plans and life insurance are also common benefits.
ENTRANCE REQUIREMENTS AND TRAINING
Many employers rank good communication skills high because Loan and Credit Clerks have considerable contact with customers. Good written and verbal skills, especially telephone communication, are needed. General clerical skills are helpful and may be required: typing 35 to 45 or more words per minute accurately, knowing how to operate a ten-key adding machine and an understanding of business math. Most employers expect new hires to know basic computer operations. Most recent hires have a high school diploma or equivalent.
Some employers also look for applicants with community college, business school, adult education or Regional Occupational Program (ROP) office technology training. In addition, employers require the ability to speak and read English; fluency in other languages, especially Spanish, may give a competitive edge to job seekers.
Most Credit Clerks receive informal, on-the-job training provided by employers. The training (which lasts about two weeks) usually includes company policies and procedures, specific training on reading computer printouts and introduction to interest calculation.
Loan and Credit Clerks may get promoted to loan officer, supervisor, or credit manager. Employers often promote current employees such as tellers or customer service clerks to Loan and Credit Clerk positions.
Job seekers should register with the California Employment Development Department Job Services. Business schools and community colleges usually provide placement services for their students. They should also apply directly to retail stores, banks, savings and loan companies, credit unions and finance companies. Job leads are frequently listed in newspaper help- wanted ads. Applicants with no experience should indicate their willingness to take part-time and temporary work to gain job skills.
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DOT (Dictionary of Occupational Titles, 4th ed., Rev 1) Credit Clerk 205.367-022 Mortgage Clerk 249.362-014
OES (Occupational Employment Statistics) System Loan and Credit Clerks 531210
Source: State of California, Employment Development Department, Labor Market Information Division, Information Services Group, (916) 262-2162.