Who is Credit Analyst?
Credit analysis is a speciality of financial risk analysis. It involves analyzing the creditworthiness of the individuals or companies that seek out credits or loans. The credit analyst, also known as a credit risk analyst, assesses the financial and credit history of the potential follower and their financial and economic conditions to determine whether they would be able to repay. Then, the credit analyst concludes their investigation to approve or disapprove the credit, to increase or decrease them.
Typical day at work
What does Credit Analyst do?
Credit analysis is a subset of financial risk assessment. Credit analysts (a.k.a. credit risk analysts) are tasked with assessing and evaluating companies' risk in making financial loans proposals to retail and commercial customers.
Sometimes they may be responsible for providing expert guidance on credit risks linked with large-scale corporate lending schemes, which involve millions and millions of pounds.
They review and analyze financial statements, annual reports, management accounts, profit and loss statements, cash and asset inventories, financial data updates from Reuters, and other relevant information made available by market research agencies.
- To review credit applications.
- To converse with the clients to collect information regarding their financial and credit transactions, liabilities, assets etc.
- To gather information and evaluate the client's position using financial ratios and other statistical techniques.
- To determine the credit limit that could benefit them as well as guarantee the repayment along with the generation of loan terms for the borrower based on the research conducted.
- To refuse the credit if the statistical data proves that the probability of repayment is low.
- To produce a report regarding the extent of risk involved in lending money to clients.
- To help the supply chain and marketing department in financial management make payments on time, reduce the risk of a customer dispute, credit exposure etc.
- To be constantly updated about legal market risk and compliance issues.
- To make suggestions in improving the procedural or policy changes.
- To establish new credit limits based on the data evaluations and credit policies.
- To review the existing clients regarding the credit details.
- To resolve credit issues, if any.
Abilities & aptitude needed
What are the skills, abilities & aptitude needed to become Credit Analyst?
The job profile and responsibilities involved a considerable amount of money, and any information being overlooked would prove very costly. Thus attention to detail is the primary soft skill required by the employee. They must also have adequate knowledge regarding finance, statistics and good IT skills to analyze the situation and draw concrete conclusions from them. The results of the observations and evaluations must be communicated to the clients as well as the employee's company, which would require good written and oral communication skills. The research results are often presented before a panel or submitted to them in the form of a written document. The employee must be able to learn every new day. To speak confidently to a client, the employee must be knowledgeable about the industry of the client and their strengths and challenges faced by them. They must possess the ability to work on multiple projects simultaneously and prioritize them appropriately.
Which course I can pursue?
Which are the best colleges to attend to become Credit Analyst?
Hindu College, Delhi
Delhi | Delhi UniversityNIRF Rank : 2
Presidency College, Chennai
Chennai | UGCNIRF Rank : 3
Lady Shri Ram College for Women, New Delhi
New Delhi | Delhi UniversityNIRF Rank : 5
Loyola College, Chennai
Chennai, Tamil Nadu | University of Madras, ChennaiNIRF Rank : 6
Hans Raj College, Delhi
Delhi | Delhi University,UGCNIRF Rank : 9
Savitribai Phule Pune University, Pune
Pune, Maharashtra | Savitribai Phule Pune University, PuneNIRF Rank : 10
Ramakrishna Mission Vidyamandira, Howrah
Howrah | University of CalcuttaNIRF Rank : 11
Gargi College, Delhi
Delhi | Delhi University, UGCNIRF Rank : 12
Madras Christian College, Chennai
Chennai | University of MadrasNIRF Rank : 13
S. P. Jain Institute of Management and Research, Mumbai
Mumbai | AIUNIRF Rank : 16
Banasthali Vidyapith, Banasthali
Jaipur, Rajasthan | UGCNIRF Rank : 19
SVKM`s Narsee Monjee Institute of Management Studies, Mumbai
Mumbai, Maharashtra | ?AACSB?, ?AMBA?, ?UGC?, ?AIUNIRF Rank : 20
Siksha 'O' Anusandhan, Bhubaneswar
Bhuvaneshwar, Odisha | Biju Patnaik University of Technology,UGC,NAACNIRF Rank : 21
Symbiosis International University, Pune
Lavale, Maharashtra | Symbiosis International University, PuneNIRF Rank : 22
PSGR Krishnammal College for Women, Coimbatore
Coimbatore, Tamil Nadu | Bharathiar University, CoimbatoreNIRF Rank : 22
Fergusson College, Pune
Pune | Savitribai Phule Pune UnisversityNIRF Rank : 27
Mar Ivanios College, Thiruvananthapuram
Thiruvananthapuram | University of Kerala,UGCNIRF Rank : 29
Rashtrasant Tukadoji Maharaj Nagpur University, Nagpur
Nagpur, Maharashtra | UGC,AIUNIRF Rank : 29
Scott Christian College, Nagercoil
Nagercoil, Tamil Nadu | Manonmaniam Sundaranar University, TirunelveliNIRF Rank : 30
Women`s Christian College, Chennai
Chennai | University of MadrasNIRF Rank : 32
Thiagarajar College, Madurai
Madurai, Tamil Nadu | Madurai Kamaraj University, MaduraiNIRF Rank : 34
Loyola Institute of Business Administration, Chennai
Chennai, Tamil Nadu |NIRF Rank : 36
Shanmugha Arts Science Technology and Research Academy, Thanjavur
Thanjur, Tamil nadu | NAAC, UGC, NAAC-ANIRF Rank : 38
Lovely Professional University
Delhi | University Grants Commission (UGC)NIRF Rank : 38
Banaras Hindu University, Varanasi
Varanasi | ACU AIU NAAC UGCNIRF Rank : 39
St. Joseph's College, Tiruchirappalli
Tiruchirappalli, Tamil Nadu | Bharathidasan University, TiruchirappalliNIRF Rank : 39
Queen Mary`s College, Chennai
Chennai, Tamil Nadu | University of Madras, ChennaiNIRF Rank : 40
Alliance University, Bengaluru
Bengaluru | UCCNIRF Rank : 42
Xavier University, Bhubaneswar
Bhubaneshwar | UGC,NBA,AIUNIRF Rank : 44
Vellore Institute of Technology, Vellore
Vellore | UGCNIRF Rank : 46
Govt. College for Women, Thiruvananthapuram
Thiruvananthapuram Kerala | Kerela UniversityNIRF Rank : 47
Maharaja Agrasen College, Delhi
Delhi | University of DelhiNIRF Rank : 47
Sathyabama Institute of Science and Technology, Chennai
Chennai, Tamil Nadu | Sathyabama University, ChennaiNIRF Rank : 47
Amity University, Gautam Budh Nagar
NOIDA | UGC?, ?NAAC?, ?WASC?, ?AIU?, ?ACUNIRF Rank : 49
Lovely Professional University, Phagwara
Phagwara, Punjab | UGC, AIU, PCI, NCTE, COA, ACBSP,NIRF Rank : 52
VELS Institute of Science Technology and Advanced Studies, Chennai
Chennai, Tamil Nadu | ?UGC NAACNIRF Rank : 52
Kurukshetra University, Kurukshetra
Thanesar, Haryana | UGCNIRF Rank : 53
Sri Krishna Arts and Science College, Coimbatore
Coimbatore, Tamil Nadu | Bharathiar University, CoimbatoreNIRF Rank : 53
St. Thomas College, Thrissur
Thrissur, Kerala | Affiliated to University of CalicutNIRF Rank : 54
Shivaji College, Delhi
Delhi | Delhi UniversityNIRF Rank : 54
Institute of Management and Entrepreneurship Development, Pune
pune | university of puneNIRF Rank : 55
Sam Higginbottom Institute of Agriculture, Technology and Sciences, Allahabad
Allahabad, Uttar Pradesh | UGC, ACU AIU IAU IAUANIRF Rank : 56
St. Xavier's College, Ahmedabad
Gujarat | Gujarat UniversityNIRF Rank : 56
Sacred Heart College, Ernakulam
Thevara, Kochi | Mahatma Gandhi University, KottayamNIRF Rank : 57
Stella Maris College for Women, Chennai
Chennai | University of MadrasNIRF Rank : 58
Koneru Lakshmaiah Education Foundation University(K L College of Engineering), Vaddeswaram
Guntur, Andhra Pradesh | University Grants Commission, All India Council for Technical EducationNIRF Rank : 58
St. Joseph`s College of Commerce, Bengaluru
Bengaluru, Karnataka | Bangalore University, BangaloreNIRF Rank : 61
St. Teresa's College, Ernakulam
Ernakulam Kochi, Kerala | Mahatma Gandhi University, KottayamNIRF Rank : 64
Shoolini University of Biotechnology and Management Sciences, Solan
Solan, Himachal Pradesh | UGCNIRF Rank : 65
Silver Jubilee Degree College, Kurnool
Kurnool | Rayalaseema UniversityNIRF Rank : 66
NSHM Knowledge Campus, Kolkata
Kolkata, West Bengal | Maulana Abul Kalam Azad University of Technology, KolkataNIRF Rank : 68
Govt. Arts College, Thiruvananthapuram
Thiruvananthapuram, Kerala | Kerala UniversityNIRF Rank : 69
Farook College, Kozhikode
Kozhikode, Kerala | CALICUT UNIVERSITY, CALICUTNIRF Rank : 71
SRM Institute of Science and Technology, Chennai
Kattankulathur, Tamil Nadu | SRM University, ChennaiNIRF Rank : 73
St. Xavier's College, Palayamkottai
Tirunelveli, Tamil Nadu | Manonmaniam Sundaranar University, TirunelveliNIRF Rank : 74
V. O. Chidambaram College, Tuticorin
Thoothukudi, Tamil Nadu | Manonmaniam Sundaranar University, TirunelveliNIRF Rank : 77
Newman College, Idukki
Thodupuzha, Kerala | MG UniversityNIRF Rank : 78
Lady Doak College, Madurai
Madurai | MKU,MaduraiNIRF Rank : 79
Women's Christian College, Nagercoil
Nagercoil, Kanyakumari | Manonmaniam Sundaranar UniversityNIRF Rank : 81
St. Joseph's College, Kozhikode
Devagiri, Calicut Kerala | University of Calicut, MalappuramNIRF Rank : 82
St. Francis College for Women, Hyderabad
Hyderabad, Telangana | Osmania University, HyderabadNIRF Rank : 95
Hindustan Institute of Technology and Science, Chennai
Chennai | NAAC; UGCNIRF Rank : 95
St. Xavier's College, Mumbai
Mumbai, Maharashtra | University of MumbaiNIRF Rank : 96
IK Gujral Punjab Technical University, Kapurthala
jalandhar | UGC, AICTENIRF Rank : 96
Sri Meenakshi Government College for Women, Madurai
Madurai, Tamil Nadu | Madurai Kamaraj University, MaduraiNIRF Rank : 97
Muthurangam Govt. Arts College, Vellore
Vellore, Tamil Nadu | Thiruvalluvar University, VelloreNIRF Rank : 98
The Northcap University, Gurugram
Gurgaon, Haryana | BCI, NAAC, UGC, MHRD, AIUNIRF Rank : 117
YMCA University of Science and Technology, Faridabad
Faridabad, Haryana | UGCNIRF Rank : 144
PES University, Bengaluru
Bengaluru, Karnataka | AICTE, NAAC, UGCNIRF Rank : 149
Dr Vishwanath Karad MIT World Peace University, Pune
Pune, Maharashtra | UGCNIRF Rank : 154
Narula Institute of Technology, Kolkata
Kolkata, West Bengal | Maulana Abul Kalam Azad University of Technology, KolkataNIRF Rank : 160
Manav Rachna International Institute of Research and Studies, Faridabad
Faridabad, Haryana | Manav Rachna International University, FaridabadNIRF Rank : 164
Which industries are open for Credit Analyst?
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Are there internships available for Credit Analyst?
What does the future look like for Credit Analyst?
The minimum qualification required for an entry-level job is a bachelor's degree in finance, accounting, business administration or economics. Banks, credit card issuing institutions, credit rating agencies, and asset management companies employ credit analysts. They could also earn a job in government loan divisions. The average salary of a credit analyst is around 5 lakh per annum.
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