How to become A Commercial Loan Closer

• Commercial Loan Closer
• Loan Closer
• Commercial Loan Processor

What do Commercial Loan Closers do?

A Commercial Loan Closer would typically need to:

• Have insight into the entire lifecycle of loan syndication, from the initial pitch to the closing of the transaction
• Interview prospective applicants and procure specified information related to loan or credit application
• Process loan requests prepared by lending origination officers; notify the lender and attorney of missing items or required corrections, ensuring that the attorney closing checklist is accurate
• Prepare loan packages by current document governance and compliance standards for review by the lending origination officer
• Arrange for property appraisals; ensure that the borrowers or lenders cover all fees; set up an escrow, if necessary
• Ensure the compliance of loan submissions with bank policies and procedures; work with appropriate parties to resolve any issues to closing, such as liens, judgments, insurance, and title exceptions
• Obtain proper approval and adequate documentation for any noted waivers, exceptions, or deviations from policy; escalate issues to the commercial loan closer team lead, if required
• Act as liaison between the escrow, the title, and all interested parties; coordinate the details of the final closing meeting, during which the closing statement and mortgage note are signed
• Assemble and prepare closing documents and verify their accuracy during the completion of real estate transactions; ensure the full and correct collection of all fees at closing
• Ensure that all documents are correctly recorded and delivered after the sale has been finalized
• Assist lending origination officers in the review and renewal of credit facilities; monitor tickler files
• Inform lending origination officers when commercial accounts require up-to-date financial statements and other covenant items
• Ensure that credit inquiries and uniform commercial code (UCC) filings are researched to determine credit worthiness
• Process loan disbursement requests, wire transfers, and payments for commercial credit and closing related vendor services; reconcile loans or other credit facilities to bank records
• Act as liaison between the front line and loan admin/operations including lender/portfolio manager and underwriting; assist co-workers and help train new staff when needed
• Interact with colleagues from various corporate finance units, representatives from other banks, and corporate clients
• Conduct research on the current loan and debt capital markets

A Commercial Loan Closer typically works out of an office and may spend most work hours sitting at a desk. A business casual dress code would work best for professionals in this field.

Commercial Loan Closers work full time and have regular work schedules for the most part, except in the event of a deadline for a loan that has to be closed.

Finding a new job might seem challenging. Commercial Loan Closers can boost their job search by asking their network for referrals, contacting companies directly, using job search platforms, going to job fairs, leveraging social media, and inquiring at staffing agencies.

Commercial Loan Closers are generally employed by:

• Mortgage Banking Companies
• Homebuilders
• Financial Institutions

Professional associations and organizations are vital for Commercial Loan Closers interested in pursuing professional development or connecting with like-minded professionals in their industry or occupation. Membership in one or more adds value to your resume while bolstering your credentials and qualifications.

• A fast-paced environment with continual pressure to meet deadlines for closings
• The dissatisfaction due to being unable to analyze issues in-depth and find solutions
• Under-appreciation of one’s role; unequal distribution of work; repetitive tasks
• Health issues due to sitting at a computer for most of the workday

Employers prefer candidates with relevant banking experience and experience in reading and interpreting loan and legal documentation. Experience in commercial, real estate, and interim construction loans also helps, as does experience in constructing and refinancing retail and residential structures. The length of experience will vary with the degree you have in hand; a high school diploma requires more experience than post-secondary education.

The minimal qualifications to become a Commercial Loan Closer include a high school diploma. However, some employers may prefer applicants with a post-secondary degree in finance, economics, business studies, accounting, banking, business administration, or related fields. Generally, vocational schools and community colleges offer commercial loan closing certification programs and classes, but specific courses may be available online. Completing classes in research and computer use while in high school may help aspiring loan closers prepare to enter the field. Multi Linguistic skills may also enhance job prospects.

Voluntary certification from an objective and reputed organization can help Commercial Loan Closers gain professional credibility, validate their knowledge, and increase their confidence at work. Working knowledge of Microsoft Office Suite and Adobe is an essential prerequisite.

With sufficient experience and expertise, a Commercial Loan Closer can advance to the post of a Lending Originating Officer and from there go on to lead the Loan Closer Team. Advancement may also involve moving to another institution offering more responsibility and remuneration.

Candidates with good customer service skills and loan closing experience may have a competitive edge in the job market.

Most Commercial Loan Closers learn how to do their job duties through on-the-job training. Some formal technical training may also be necessary. Certification mandates continuing education requirements to retain the title of 'certified.'

Holding and maintaining certification gives Commercial Loan Closers an edge in the job market. It would also work to your advantage when you maintain current knowledge of all internal policies, procedures, and training as well as external legislature and regulations.

Sole Focus on Real Estate

Commercial Loan Closers finalize the mortgage loans that are usually needed to buy real estate. They are responsible for completing all of the tasks involved with closing and disbursing commercial loans for various loan products offered by the bank, including commercial and industrial real estate, asset-based lending, small business administration, and construction.

From Start to Finish

Closers typically focus on supporting a particular type of loan product. They coordinate all the loan closing steps, arriving at exact and accurate financial numbers for borrowers, and preparing documents.

They serve as liaisons with many internal and external parties, including the lending origination officer, borrower, third party closing agents (such as escrow and title companies), Documentation and Compliance, Credit Administration, and Loan Servicing. Key Terms Explained Simply Escrow, usually associated with real estate transactions, uses a third party, which holds an asset or funds until the other two parties have fulfilled their contractual requirements. Loan syndication occurs when a single loan by a single borrower is too large for one bank or falls outside its risk tolerance. The banks in a loan syndicate share the risk and are exposed only to their portion of the loan. Title in real estate conveys ownership. Whenever an asset is sold, its title is transferred to the buyer. A lien serves to guarantee an underlying obligation, such as the repayment of a loan. A creditor can use a lien to seize the asset used as collateral if the underlying debt is not satisfied.

The practice of commercial lending first started in Ancient Greece and Rome, with pawnbrokers. The modern lending system we know today evolved from technological advancement in the 1900s.

Many people start well, but to close, you must have the complete package - not as an individual but as a company - to make someone’s legitimate dreams come true.

Don’t forget to maximize all of your hard work by following up with your customers. Stay in contact, but don’t be overwhelming. Simply make yourself available with a phone call, email, or via social media to help keep the conversation going.