Credit Risk Analyst

Test description:

If you need to borrow money for your small business, credit risk analysts will evaluate your application. These analysts usually work for banks. Their job is to evaluate loan applications and determine who is likely to pay their loans back. Credit analysts rarely work directly for small businesses, although some may act as consultants and guide you to success in getting a loan. Credit risk analysts help businesses determine whether a loan to a particular person or entity is a good investment. These analysts examine loan applicants' credit, highlight red flags and evaluate the probability that a debtor will default on the loan. Credit analysts don't usually make the final decision on loans; they advise business owners as to their opinion and allow the owner to decide whether to grant the loan.
The responsibilities of a credit analyst include evaluation of financial data, such as balance sheets and income statements to determine the level of default risk, and preparation of a report for both the client and the lender. This evaluation includes calculating certain financial ratios to help the lender make comparisons. These responsibilities necessitate that credit analysts receive at least a bachelor’s degree, ideally in finance, accounting, economics, or mathematics (notably statistics). Many credit analysts’ initial work experiences are in the areas of accounting, accounts receivables/payables, or loan application processing.
In a nutshell, the analyst will create credit risk models, research collection techniques and effectiveness, analyze credit marketing tests and provide credit decision support to improve the overall effectiveness of the internal credit programs.

TYPICAL RESPONSILITIES

• Assisting in developing and maintaining credit pre-approval and limit policies

• Auditing test and control groups to assure proper setup and execution

• Providing statistical support for “ad hoc” credit analysis

• Evaluating credit test results and offering recommendations

• Writing Structured Query Language (SQL) and Statistical Analysis Software (SAS) programs to pull    necessary data from the Marketing Database

KEY SKILLS REQUIRED:

• Professional level communication skills, who has the ability to present data and ideas confidently  -Verbal Ability and Verbal Reasoning

• Mathematics& Statistics- Quantitative Aptitude,Statistics

• Modeling and data analysis -Excel Modelling

• High level of analysis & problem solving skills- Abstract Reasoning, Quantitative Aptitude

• Analyzing problems and finding appropriate solutions on a daily basis.- Logical Reasoning

• Financial Analysis- Financial Analysis