Find out the top 10 core skills you need to master as a credit manager and what hard skills you need to know to succeed in this job.

A credit manager is responsible for coordinating and overseeing the lending process including loan application, review, underwriting, approval or disapproval. He/she oversees the process of lending following the relevant procedures.

Since this is a managerial position, he/she leads the team in researching about the customer be it an individual or a firm and ensures that all the information related to employment history, debt-to-income ratio, income, and credit history is reviewed and recorded in preparation for decision making. He/she is also charged with the mandate of making the final decision on loan approval even if they work with the committee. Upon approval of a loan, he/she is required to prepare the necessary documents with all the terms of the loan. Finally, he/she may also be involved in tracking the repayment progress.

Core Skills Required to be a Credit Manager

Core skills describe a set of non-technical abilities, knowledge, and understanding that form the basis for successful participation in the workplace. Core skills enable employees to efficiently and professionally navigate the world of work and interact with others, as well as adapt and think critically to solve problems.

Core skills are often tagged onto job descriptions to find or attract employees with specific essential core values that enable the company to remain competitive, build relationships, and improve productivity.

A credit manager should master the following 10 core skills to fulfill her job properly.

Judgment Skills:

Judgment is the ability to make a decision or form an opinion wisely especially in matters affecting action, good sense and discretion.

A Credit Manager must be a person of good judgment with the ability to make the right decision at the right time and for right reasons especially in prioritizing the work correctly to focus on a few important things and ensure excellent results are delivered.

Knowledge of Job:

Knowledge of Job is essential to every employee who needs to have a clear understanding of how their jobs fit into the overall organization to eliminate carelessness and laxity.

A Credit Manager must be able to evaluate this criterion when selecting an employee and know the common descriptions of a person with either right or inadequate knowledge of the job early enough to either keep them or let them go.

Crisis Management:

Crisis Management is the application of strategies that are designed to help an organization deal with a sudden and significant negative event.

A Credit Manager must be able to tell the early signs of crisis, warn the employees against the aftermaths on the future course of action and move on to discipline anyone who does not adhere to the warning given and moves on to cause the crisis.

Planning and Scheduling:

Planning and Scheduling are the act of establishing a plan for a set of tasks that needs to be completed and including when they should be done.

A Credit Manager needs creativity in balancing both planning and scheduling by clearing defining what and how activities will be carried out by when and who in particular to ensure there are a clear flow and accountability to every staff.

Adaptability:

Adaptability is the ability to cope with and adapt to unexpected situations in any environment and staying connected with a great attitude.

A Credit Manager must shape the workplace with leadership skills that allow employees to adapt to the provided atmosphere and be able to give their best in the workplace while growing in their ability to become the best employees.

Self Awareness:

Self Awareness is the ability to have a sound understanding of who you are as a person and how to relate to the world in which you live by understanding your strengths and weaknesses and how to manage them in the workplace.

A Credit Manager must creatively know how to administer the workforce diversity by understanding the culture identity, biases, and stereotypes and become more aware on how he reflects his thoughts, feelings, and behavior towards the staff.

Personal Commitment:

Personal Commitment is an obligation that you have voluntarily agreed to fulfill without being cajoled or threatened and are willing to be held accountable for the results.

A Credit Manager ought to understand that though adopting new policies and procedures will be met with resistance, the approach by which safety standards are implemented and enforced influences employee's attitudes and commitment towards the organization.

Realistic Goal Setting:

Realistic Goal Setting is the skill to hone in the specific actions that we need to perform to accomplish everything we aspire to live.

A Credit Manager should invest his time in planning and set both short and long-term goals that stretch and initiates the growth in every employee causing each to perform at his level best bringing in real benefit to their life and the business as well.

Resource Use:

Resource Use is the ability to utilize the office supplies effectively while avoiding any wastage and ensuring everything is used correctly.

A Credit Manager needs to educate his employees on the rising threat of global warming and the business's risk of high expenses to avoid wastage of any kind from copiers, computers, old filing processes and data backing disks that are sometimes misused by the employees.

Intercultural Competence:

Intercultural Competence is the knowledge and skills to successfully interact with people from other ethnic, religious, cultural, national and geographic groups.

A Credit Manager should have a high degree of intercultural competence that enables him to have successful interactions with people from different groups as well as train his employees to be sensitive to the cultural differences and be willing to modify their behavior as a sign of respect for each other.

Hard Skills Required to be a Credit Manager

Hard skills are job-specific skill sets, or expertise, that are teachable and whose presence can be tested through exams. While core skills are more difficult to quantify and less tangible, hard skills are quantifiable and more defined.

Hard skills are usually listed on an applicant's resume to help recruiters know the applicant's qualifications for the applied position. A recruiter, therefore, needs to review the applicant's resume and education to find out if he/she has the knowledge necessary to get the job done.

A credit manager should have a good command of the following hard skills to succeed in her job.

Credit Manager: Hard skills list

Accounting
Accounts Receivable
Analytical
Algebra
Analyze credit data
Accounts Receivable Collections
Accounting Principles and Terminology
Automatic Data Processing (ADP) software
Bookkeeping
Budgeting
cash and asset inventories
Calculus
Capital Budgeting
Capital Markets
Credit Application Processing
Communication
Computing
Computers
Compute and Record Fiscal Data
Compute Equity
Credit Investigations (Conduct Credit Investigations)
Credit Reports
Customer Service
Database Programs
Design Tables Depicting Data
Economics
Evaluate Degree of Financial Risk
Fiscal Policy
Financial Analysis
Financial Data
Financial Derivatives
Financial Investment Analysis
Finance Quantitative Analysis
Financial Risk Analysis
Financial Statement Analysis
Financial/Statistical software
Financial Management Principles and Theories
Financial analysis (perform general financial analysis)
Financial Reports (compile data for financial reports)
General
Loan Applications (review)
Option Analysis
Profits and Loss Statements
Management Accounts
Mathematics
Money Markets
Monetary Policy
Monitor credit extension decisions
MS Excel (Spreadsheet)
Payroll
Profit And Loss Statements
Ratio Analysis
Risk Assessment
Statistics
Obtain information from clients, customers, patients or others
Process records and maintain forms and files

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