Loan Officer Salary Guide and Career Outlook

Loan officers in the United States make $76,260 on a mean basis. In Canada, the mean stands at C$40,010 ($31,304 USD), while the figure is £16,766 ($22,524 USD) for loan officers in the United Kingdom.

Australia’s loan officers see mean salaries of AU$52,661 ($40,385 USD) and those in New Zealand earn on a mean basis NZD$48,000 ($36,812 USD). Loan officers have mean pay of INR2,33,890 (INR233,890 in Western form) ($3,656 USD) in India and R247,333 ($18,324 USD).

loan officer salary

How Much Does a Loan Officer Make per Year by State?

Loan Officer Salary US Canada UK Australia New Zealand India South Africa
Hourly Pay $36.67 C$19.24 £8.07 AU$25.32 NZD$23.08 INR112.45 R119
Annual Pay $76,260 C$40,010 £16,776 AU$52,661 NZD$48,000 INR233,890 R247,333

Loan Officer Salary Influencing Factors

Within countries, pay can run higher or above the national mean in certain states, provinces or cities. Accumulating experience also helps loan officers earn higher pay. Banks and other lending companies may incentivize performance or gaining business with bonuses, profit sharing and commissions.

1. Location

In the United States, the top five states for loan officer salaries all rest in the Northeastern United States. Loan officers in New York earn on a mean basis $101,630 per year, according to the U.S. Bureau of Labor Statistics. Massachusetts follows at $96,090, with New Hampshire ranking third at $88,780. Loan officers in the District of Columbia and Connecticut rank fourth and fifth at $88,360 and $87,380 respectively.

According to PayScale, loan officers make ten percent above the Australian mean in Sydney, while those in Melbourne earn five percent more than the mean. In Brisbane, average pay is three percent less than the nationwide mean. Loan officers in Mumbai, India reach on a mean basis 11 percent north of the national mean of INR233,890.

Job Bank Canada lists median pay rates for “Financial Sales Representatives,” into which loan officers are included, highest in Saskatchewan, at C$28.85. At the lowest end lies Nova Scotia at C$21.03.

How Much Does a Loan Officer Make in the US?

Loan Officer Salary US Per Year Per Hour
Minimum $32,820 $15.78
Maximum $132,290 $63.60
Bonus/Tip $486 to $12,111 $0.23
Overtime No additional pay No additional pay
Total Pay $32,820 to $132,290

How Much Does a Loan Officer Make in Canada?

Loan Officer Salary Canada Per Year Per Hour
Minimum C$34,256 C$16.46
Maximum C$53,885 C$25.90
Bonus/Tip Up to$4,872 Up to C$2.34
Overtime No additional pay No additional pay
Total Pay C$34,256 to $53,885

How Much Does a Loan Officer Make in the UK?

Loan Officer Salary UK Per Year Per Hour
Minimum £12,723 £6.12
Maximum £23,490 £11.29
Bonus/Tip £500 £0.24
Overtime No additional pay No additional pay
Total Pay £13,000 to £23,490

How Much Does a Loan Officer Make in Australia?

Loan Officer Salary Australia Per Year Per Hour
Minimum AU$42,165 AU$20.27
Maximum AU$71,168 AU$34.21
Bonus/Tip AU$203 to AU$9,863 AU$0.10 to AU$4.74
Overtime No additional pay No additional pay
Total Pay AU$43,007 to AU$71,621

How Much Does a Loan Officer Make in New Zealand?

Loan Officer Salary New Zealand Per Year Per Hour
Minimum NZD$31,288 NZD$15.04
Maximum NZD$64,564 NZD$31.04
Bonus/Tip NZD$4,640 NZD$2.23
Overtime No additional pay No additional pay
Total Pay NZD$31,288 to NZD$64,564

How Much Does a Loan Officer Make in India?

Loan Officer Salary India Per Year Per Hour
Minimum INR1,21,921 INR58.62
Maximum INR5,11,433 INR245.88
Bonus/Tip INR1,010 to INR99,666 INR0.49 to INR47.92
Overtime No additional pay No additional pay
Total Pay INR1,27,296 to INR553,817

How Much Does a Loan Officer Make in South Africa?

Loan Officer Salary Sourh Africa Per Year Per Hour
Minimum R179,932 R86.51
Maximum R307,077 R147.63
Bonus/Tip R8,582 R4.13
Overtime No additional pay No additional pay
Total Pay R179,932 to R315,659

2. Experience

Pay Scale places the mean for loan officers in the United States with up to five years on the job at $40,000, while those achieving five to ten years make $46,000. The mean rises to $49,000 for at the ten to 20 year level and gets to $50,000 for those with more than 20 years of experience.

According to Pay Scale, entry-level loan officers in Canada make 11 percent under the national average. The pay rises five percent above mean for officers with ten to 20 years, while the mean for those with five to ten years collect 20 percent more than the national average.

In Australia, experience generally does not weigh heavily in the movement of loan officer salaries. Those who have worked ten to 20 years make three percent above the national mean. At entry-level, the mean is two percent under the national average, while loan officers with five to ten years of experience fall three percent below the national mean.

For loan officers in India who achieve ten to 20 years in the job, pay runs 26 percent above the national mean. Those in the five to ten-year window earn 21 percent more than the national mean, but entry-level loan officers see pay at 12 percent below the mean in India.

According to SalaryExpert, loan officers in South Africa with one to three years of experience earn R179,932 per year. The senior-level salary jumps to a mean of R307,077.

3. Industry

The loan officer occupation exists primarily in financial institutions, including banks, and finance or mortgage companies. Credit card providers also hire loan officers. These companies differ by size and geographic reach. Loan officers may work for national banks that reach into several states or for smaller, regional or community banks.

Some who perform the functions of loan officer functions may actually operate their own mortgage or finance companies. In Canada, “Financial Sales Representatives,” which include loan officers, are self-employed at a 48 percent clip.

Schedule & Working Hours

Loan officers normally keep full-time hours. According to Job Bank Canada, 96 percent of “Financial Sales Representatives,” including loan officers, log full-time hours. In Australia, full-time “Credit and Loans Officers” averaged 38.5 hours of work per week. Generally, loan officers work during weekdays and normal business hours.

Bonuses & Benefits

Some countries have relatively high figures of loan officers with health benefits.

Among loan officers in the United States, PayScale places the medical coverage rate at 85 percent, dental coverage rate at 67 percent and vision coverage rate at 54 percent.

Pay Scale reports that 89 percent of Canadian loan officers have medical insurance, while 87 percent enjoy dental care. Nearly eight in ten get employer-provided vision. India had strong numbers, with 69 percent having medical insurance. However, only 11 percent of loan officers in India possessed vision care, while on 12 percent enjoyed dental care.

For the United Kingdom, only one in ten loan officers stated having medical insurance from the employer. Twenty percent received vision coverage and none reported dental care to PayScale.

Only eight percent of Australian loan officers report to PayScale as having employer-provided medical coverage. None get vision or dental care. Low percentages also characterize job benefits for lending officers in New Zealand. Only one in four have medical coverage and 13 percent are covered by dental benefits. In South Africa, 75 percent report benefiting from medical benefits, but none had dental or vision coverage.

Loan officers in various areas can also earn commissions and profit-sharing benefits. Profit-sharing proceeds in the United States reach as high as $10,000. Loan officers fetch between $1,168 and $81,183 in commissions.

In Canada, loan officer bonuses climb to C$4,872 and beneficiaries of profit-sharing plans earn C$1,500. The mean benefits from profit-sharing in Australia amount to AU$270. Profit-sharing compensation up to INR2,06,084 in India and mean commissions of INR50,000.

Career Outlook

The employment of loan officers depends to a significant degree on economic conditions affecting particular regions. With stronger economic activity come more loan requests and, thus, a need for loan officers to evaluate loan applications. Yet, consolidation of banks and branches could temper some job growth. This is especially as banks constitute the largest employer of loan officers.

According to the U.S. Bureau of Labor Statistics, employment of loan officers in the United States should rise by 11 percent through 2026. This translates to 36,500 additional positions by that time. However, the effect of branch reductions and combinations may mean only a three percent increase in loan officer jobs in commercial banks and savings institutions.

In Canada, loan officers are included in the broader category of “Financial Sales Representatives.” By 2024, the “Financial Sales Representatives” field should have a projected 19,700 job openings for 19,400 job seekers.  In Australia, 31,100 occupied the “Credit and Loans Officers” field in 2015. Projections show there will be 32,900 credit and loans officers by 2020.

Non-bank credit houses are increasing their presence in the lending and credit industry. For instance, Price Waterhouse reports that “non-banking finance companies” account for 13 percent of the total credit in India and predicts that these companies could grant 18 percent of total credit by 2018-2019.

In South Africa, a poor state of the economy and banking sector could diminish hiring prospects for aspiring loan officers. Moody’s Investors Service reports that loans in the country grew by just 2.3 percent in May 2017 after an 11.1 percent ascension in May 2016.

Conclusion

The pay of loan officers can increase with experience, location and job performance. Commissions, bonuses and profit sharing are parts of the compensation scheme for many loan officers. Demand for loans and for loan officers may follow overall conditions in the economy and lending activity.

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