We review clients financial situation, before proceeding to make suggestions and recommendations regarding loan and mortgage options. We are also responsible for approving loan requests, and ensuring that they are working in such a way that benefits both the employer and the client. The main job of a loan officer involves evaluating the financial information of loan applicants. Strong analytical skills can help you to accurately analyze a customer's credit scores, financial status and repayment capabilities. These skills can also help you spot any discrepancies or fraud attempts.
Secured Loans
Secured loans are those loans that are provided against security. The borrowers need to furnish security for availing of secured loans. In the case of secured loans, lenders face a lower risk of default by the borrower. In case the borrower is unable to repay the loan, then the lender can sell the asset to recover its dues.
Unsecured Loans
Unsecured loans are provided against the income or the prospective income-earning capacity of the borrower. Regarding unsecured loans, the borrowers are not required to furnish any security. The lenders extend unsecured loans based on the documents provided by the borrower, their income potential, and their CIBIL history.
Home Loans
These are the most common types of secured loans availed of by borrowers. As the name suggests, home loans are taken for the purchase or construction of a home by the borrower. Here, the home itself acts as a security for the lender. However, while the home is the primary security, the lender may require the borrower to furnish collateral security as well depending upon the borrower’s profile and the valuation of the home.
Working Capital Loans
Working capital loans are extended by banks and financial institutions to help businesses meet their working capital needs. Also known as Cash Credit, here the amount of loan that can be availed of depends upon the creditors, debtors and stock that the business holds which also constitutes the working capital for the business.
Personal Loans
These are one of the most sought-after bank loans in India. Personal loans are loans extended by banks or financial institutions without any collateral security. It is essentially a loan against the income of the borrower. The key features of personal loans are that it does not require any collateral security, and there is no restriction as to the end use of the borrowed funds.