Whether you will work with consumer loans or business clients, your job will require responsibility, sense for detail, resilience, and other abilities. Interviewers will test them with personal and behavioral questions. It is a common misconception to think that you need to understand the entire process of loan application, evaluation, and approval, when applying for a job of a loan officer.
First of all, you’ll receive an extensive training once they hire you (can take up to three months in some banks). And secondly, everything is computerized nowadays. You won’t do any manual calculations. You’ll collect certain data from the loan applicant, enter them to underwriting software, and let the program to do the magic…
Of course, there are things which a computer can not evaluate, such as: the level of trustworthiness of the applicant, their real business intentions (when applying for a business loan), whether they mean business or are talking trash, and so on. Understanding the real role of a loan officer, it should not come to you as a surprise that the interview will consist mostly in some personal, and some behavioral questions.
Technical questions are rare, and in most cases you will deal only with a few of them. What you may deal with quite often, however, especially when applying for a job with one of the big banks, is a role play. Let’s have a look at some of the questions right now!
Top 20 Loan Officer Interview Questions and Answers for 2022
We offer a wide range of loans to meet different needs here. What is your experience with some of the most common types of loans?
Different loans work for different people. Ideally, your new loan officer should be aware of many of the types of loans available particularly any in which your company specializes. They should be able to explain to you some of the key differences between many types of loans. Look for more than a surface-level understanding of the industry here to determine their professional suitability. What to look for in an answer:
Broad knowledge of basic loan types available
Key strengths or weaknesses of each loan
Scenarios involving choices between different loans
“I’ve worked primarily with FHA loans in the past, but I have some experience with several others. I’ll match our clients with what works.”
We foster a particular sales culture at this company. Can you tell me how you would go about learning how our unique sales process works?
Some companies have their own ways of doing things when it comes to selling or granting loans to potential clients. You’ll want to make sure that any loan officer you hire is willing to fit in with your current team or approach seamlessly. You can use this question to gauge the potential hire’s adaptability and willingness to work with a driven sales team. What to look for in an answer:
Flexibility when it comes to learning new skills
Willingness to be part of a team
Strong interpersonal and leadership skills
“I will take time to chat with other loan officers about the best practices or standards you use here. I’ll incorporate these into my methods.”
Questions you may get in a loan officer job interview
Why loan officer (mortgage loan officer)? Try to focus on the value you can bring in this job-to both the bank and the customers. Say that you believe to have the right skills, such as communication skills, empathy, resilience, sense for detail, understanding for the needs and desires of other people, understanding for the financial terminology and banking business etc.
Why our bank (financial institution)? Why not one of our competitors? Tell them something nice, something they will enjoy listening to. For example, you can praise them for the selection of loans they offer, or low interest rates. Or perhaps for great customer service (which you also want to deliver), or their reputation, working environment, anything. They should feel that you honestly want to work for them, and not just for any bank.
Tell us something about your studies/previous working experience. Try to talk about relevant things: subjects you’ve had in school that will help you in the new job. Or any jobs you held in customer service, sales, or in finance business. Tell them how your studies and professional career prepared you for a job of a loan officer. Show them that you believe in your skills, and they will start to believe in them as well!
Where do you see yourself in five years time? Most banks offer interesting career growth opportunities for loan officers, and for all other employees. Check their career’s website to see where this job can take you, in five or in ten years. Do not forget to say that you are in for a long run, that you like their bank and would be glad to stay and grow together with them.
Describe a situation when you reached a goal and tell us how you achieved it. Many banks employ a cogent system of monthly and yearly targets for loan officers and for other employees. The key is to show them that you are accustomed to setting goals and meeting them. Describe a situation (can be from work or even from school), tell them about your struggles and about your understanding of the importance of the goal, and about the milestones you set and steps you took to achieve it.
How would you deal with an angry customer? Many people will get angry after you reject their loan application. They may even shout on you, call you incompetent or even something worse. Ensure the hiring managers that you are ready to face complaints, and that you won’t change your decision about the loan just because someone isn’t happy about it. Customer is not always right. While you should try your best to stay courteous (in any situation), you can’t afford approving a loan of someone who doesn’t meet the requirements.