A loan processor is responsible for managing the administrative tasks associated with loans or mortgages. These tasks include data entry, loan application verification, background and credit checks, communicating with applicants, and preparing loan applications for submission to underwriters. Loan processors ensure that all required documentation and signatures are in place prior to submitting the loan for approval. Mortgage loan processors also must be able to deal with real estate and escrow agents, buyers, homebuilders, and all others who are involved with the home-buying process. In this way, mortgage loan processing can be more complicated; however, most loan processors work in the mortgage or automobile loan industry.
Loan processors work closely with mortgage loan supervisors, appraisers, underwriters, and others involved in the loan process. Therefore, they must be prepared to communicate effectively with a variety of people. Also, loan processors should be prepared to explain any necessary requirements to the client and must be able to answer questions clearly. In addition to this, loan processors should be well-organized and able to juggle multiple cases at once.
Loan processors work indoors and the majority of the work is clerical. They work traditional business hours and rarely work weekends or overtime. They may occasionally be asked to work later, but this is rare and usually toward the end of the month, when people are close to closing on a house. Loan processors are normally required to have at least a high-school diploma, if not a bachelor’s degree in business, accounting, or another relevant area. Many companies accept two or more years of experience in loan processing in place of a degree. They must also be computer proficient and have a comprehensive understanding of the specific national and state regulations regarding loan requirements and documentation.
Loan Processor Tasks
- Order title and escrow, review them and process loan conditions.
- Work with clients and loan originator to obtain necessary information, process it and finalize loan documents.
- Complete and maintain all paperwork for ongoing and new loans, including loan disclosures.
- Submit completed loans to underwriting, and ensure all items are obtained.