An analyst looks for the employer’s financial objectives from assigning loans to repaying loans or recommending and analyzing financial risks to the corporate. The best part of being an analyst is that they work with commercial and investment banks, master card companies, investment companies, and credit rating agencies.
The job mainly focuses on analyzing the financial data of clients. They evaluate the application of loan and credit applicants with the standard range of prose and purpose of the application. Check out How to become Credit Analyst?
A Credit Analyst earns an average of INR 6,02,000 per annum in India. At entry-level, one can expect to earn an average of INR 3,95,000 which with gaining experience of more than 10 years can earn an average of INR 12,09,000 per annum. Some of the top Recruiters of Credit Analysts include Tata Capital, Reliance Industries Ltd, HP Inc, Accenture, etc.
Table of Contents
1.1 Required Skills
3.2 Credit and Collection Analyst
4.1 Delhi
4.2 Mumbai
4.3 Ahmedabad
4.4 Chennai
6.3 Experience-wise
How to Become a Credit Analyst?
Credit Analyst is a job that requires a robust background in number-crunching. Candidates in 10+1 & 10+2 are advised to keep Mathematics and Statistics as compulsory subjects and can Apply for the entrance examinations CUET, BHU UET, etc, and qualify for admissions into the Undergraduate program.
- To become an analyst potentially requires a Bachelor's Degree in Finance, Accounting, Economics, or a related field like Statistics, ratio analysis, statistics, calculus, financial statement analysis, and risk assessment.
- Also, some organizations give first preference to MBA, Credit Business Associate (CBA) certification, Certified Chartered Financial Analyst designation, Certified Credit and Risk Analyst (CCRA), Credit Risk Certification (CRC), Certified Credit Professional (CCP), Commercial Banking & Credit Analyst (CBCA).
Required Soft and Hard Skills
The following is a list of skills required to be a Credit Analyst.
Zealous Aptitude
- The job is all about numbers- big or small. So, as an analyst, you must demonstrate considerable attention to detail.
- In case of, committing any mistake or incorrect data can be cost causing for the company.
Analytical Skill
The analyst should be skilled with the ability to collect and analyze pieces of information and can help solve a company’s problems and improve its overall productivity and success.
Knowledge of Industry
- For some companies, you need to be specialized in different sectors of industries like healthcare, technology, real estate, etc.
- In case you are lined up with an interview, do your homework about the company and the industry for a better understanding of how the industry operates and can lead you for good impact and make analysis work easier.
Proficient at Multitasking
- The analyst might have to perform many tasks and prioritize them at the same time.
- Prioritizing handles the demands as they come and juggle tasks according to their urgency and client expectations.
Well-versed with IT and Analyst Softwares
- An Analyst must be well versed with Microsoft Excel and Analytic Numerical Software.
- Good knowledge retention of some primary functions, such as sorting, generally known as arithmetic functions, graphs, charts, and financial modeling, will give them a foothold within the market.
What Does a Credit Analyst Do?
Credit Analyst is in charge of evaluating the application of loan and credit applicants with the standard range of prose and purpose of the application, Credit viability, transparency of payment, and clients’ suitability (debt-free).
- He is a prominent decision-maker of client’s credits, deals with computer programs to maintain the history of customers, and keeps the company’s monetary records updated.
- Credit Analyst is vital for the healthy economic growth of the company. and ensures that the company won’t extend the commercial loan, home loans, car loans.
- The following are some of the important responsibilities of a Credit Analyst.
Assess the worth of Credit Risk
- The prominent role of the analyst is to assess the worth of credit risk by looking at payment history, purchase activities, repaying debts history, earnings from the corporation and firm.
- Further, make a recommendation whether the company should provide or not provide credit terms to the customers. In short, He is a risk analyst.
Audit Monetary Data
- Analysts are hired by commercial and cooperative organizations to audit the monetary data of potential sales leads.
- He has to assess the client's payment history, paid debts, monthly and annually earning record, saving grace, managing accounts, monetary statements, market data, and creditworthiness for credit terms and conditions of the company organization.
Study Loan or Credit lines of Existing Clients
- The Analysts are often appointed as a studying loan or credit line of existing customers to qualify for an increase in their loan or credit line.
- He has to study and evaluate the lender's saving grace, payment & repayment history, and also keep a record of default credits.
Types of Credit Analyst
There are various types of Credit Analysts i.e. Commercial Credit Analysts, Credit and Collection Analysts, and Credit Research Analysts. The following sections give the details of the types of Credit Analysts.
Commercial Credit Analyst
- The commercial analyst has to review credit data of companies or entities for commercial loan requests to approve or decline the application.
- From the applicant’s annual or monthly financial history to credit bureau reports to creditworthy.
- An analyst is tasked to analyze if the borrower’s credit can withstand or support the extension of a line of credit.
Credit and Collection Analyst
- The analyst is trained to inspect a person’s or company’s riskiness to extend credit and collect repayments.
- Credit and collection analysts work closely with companies to help coordinate collections calls and work with customers to make repayments.
- They help collect relevant documentation regarding disputes and unpaid statements, help determine both creditworthiness and act as an intermediary between providers and customers.
Credit Research Analyst
- The analyst should take an in-depth look at each credit applicant's personal and financial background to help the lender determine whether the applicant is worth the credit or the risk of lending.
- The prime function of a credit research analyst is to research the applicant.
- It means collecting and reviewing every bit of the information, including income statements, balance sheets, and other relevant data.
Credit Analyst Job Opportunities in India
Credit analysis is one of the most prosperous career options for someone who wants to make a career in finance. The job demands top-notch analytical skills and keen attention in analyzing company-related financial and operational data.
- The average credit analyst pay package depends on the level of expertise of an individual or organization where the credit analyst is employed.
- A Credit Analyst earns an average of INR 6,02,000 per annum in India.
- A Credit Analyst at entry level may earn an average of INR 3,95,000 while one with experience more than 10 years may earn an average of INR 12,09,000 per annum.
Credit Analyst Job Opportunities in Delhi
| Job Profiles | Companies | Average Annual Salary |
|---|---|---|
| Credit Analysts | NEXGEN Financial Solution Pvt. Ltd. | INR 2,50,000 - 6,00,000 |
| Lead Analyst | Large Corporates | Credit Research role | Crisil | INR 11,00,000 - 20,00,000 |
| Credit Analysts | V- Konnect Associates | INR 13,00,000 - 20,00,000 |
| Credit Analysts/ Manager | Intellectual Capital Hr Consulting | INR 8,50,000 - 18,50,000 |
| Credit Analysts | Unnati | INR 3,00,000 - 5,00,000 |
Credit Analyst Job Opportunities in Mumbai
| Job Profiles | Companies | Average Annual Salary |
|---|---|---|
| Loan Credit Analyst | Rhomboid Finguru Pvt. Ltd | INR 3,50,000 - 4,50,000 |
| Credit Risk Analyst | JPMorgan Services India Pvt. Ltd | INR 15,00,000 - 20,00,000 |
| Credit Analysts | EPIMONEY PRIVATE LIMITED | - |
| Lead Analyst | Large Corporates | Credit Research role | Crisil | INR 11,00,000 - 20,00,000 |
| Credit Analysts/ Manager | Intellectual Capital Hr Consulting | INR 8,50,000 - 18,50,000 |
Credit Analyst Job Opportunities Ahmedabad
| Job Profiles | Companies | Average Annual Salary |
|---|---|---|
| Senior Credit Analyst | Lendingkart Finance Ltd. | INR 4,00,000 - 5,00,000 |
| Credit Analysts - Credit Rating Agency | Somet Consulting | INR 8,00,000 - 12,00,000 |
| Credit Analysts | Somet Consulting | INR 2,00,000 - 5,00,000 |
| Analyst | Largest Credit Rating Co. | Unnati | INR 4,00,000 - 8,00,000 |
| - | Abhyuday Techno Economic Consultants | INR 2,00,000 - 4,00,000 |
Credit Analyst Job Opportunities Chennai
| Job Profiles | Companies | Average Annual Salary |
|---|---|---|
| Senior Credit Assessment Officer | Kolath & Co | INR 3,00,000 - 5,00,000 |
| Credit Research role | Large Corporates | Crisil | INR 7,50,000 - 14,00,000 |
| Loan Admin - Analyst | HCL Technologies Limited | INR 3,00,000 - 4,25,000 |
| Specialist - Market/Client Risk Management - Pershing | BNY Mellon | INR 15,00,000 - 20,00,000 |
Credit Analyst Top Recruiting Companies In India
Many reputed companies recruit Credit Analysts in India. Some of the notable companies recruiting credit analysts are tabulated below.
| Northern Trust | ANZ Bank |
| TATA CAPITAL | eClerx |
| Novartis | American Express |
| HP Inc | Reliance Industries Ltd |
| Accenture | - |
Credit Analyst Salary in India
A credit analyst in India earns an average of INR 6,02,000 per annum as per the reports of Payscale. This however may be different from person to person depending on various factories. The section below gives the salary of A Credit Analyst depending on various factors.
Specialization-wise
| Specialization | Average Annual Salary |
|---|---|
| Tax Consulting | INR 6,00,000 - 7,00,000 |
| Account Management | INR 7,50,000 |
| Tax Auditing | INR 7,00,000 - 7,50,000 |
| SAP Financial Accounting and Controlling | INR 7,50,000 - 8,50,000 |
| Financial Advisor | INR 8,00,000 - 8,50,000 |
Organisation-wise
| Organization | Average Annual Salary |
|---|---|
| Reliance Industries Ltd | INR 6,60,000 |
| ICICI | INR 7,34,000 |
| ITC | INR 9,94,000 |
| Tata | INR 3,67,000 |
| SBI | INR 10,03,000 |
| HUL | INR 8,02,000 |
Experience-Wise
| Experience | Average Annual Salary |
|---|---|
| 0 - 1 | INR 3,95,000 |
| 1 - 4 | INR 5,23,000 |
| 5 - 9 | INR 9,35,000 |
| 10 yrs and above | INR 12,09,000 |
Credit Analyst Job Opportunities in India FAQs
Ques. What is better MBA or CA?
Ans. Two of them, MBA and CA are great options to promote a career in the commerce line. But do keep in mind, MBA is a postgraduate course that you can do after your graduation degree. On the other hand, CA is a professional degree course for which one can apply after class XII or after graduation.
Ques. Can a CA in practice become a non-executive director?
Ans. No! But In cases where specific permission is granted by the Council to hold office as Managing Director or Whole Time Director in a company, the member shall be deemed to be in part-time practice and cannot perform attested work.
Ques. What does a CA do at Big Four accounting firms?
Ans. Deloitte, KPMG, PricewaterhouseCoopers (PwC), and Ernst & Young are referred to as Big Four Accounting Firms. They are apex professional collaboration firms providing audit, transaction advisory, taxation, consulting, risk advisory, and actuarial services. This Big Four conducts audits on most public companies and private companies around the world.
Ques. Which is tougher CA or IIT?
Ans. Well, both are different background exams, one is for entrance undergraduates, and the other one is a professional degree but, if we see the success rate from the last few years, the pass percentage of the CA exam is around 15-18% overall. Whereas, IIT-JEE is an entrance exam for undergraduates and attended by more than 10 lakh students, out of which 80% clear Mains and around 12-15% passed students clear Advance exam in Mains.
Ques. Why is CA so difficult?
Ans. Every step in CA, from CA Foundation to CA Final is a challenge. The things that make this course tougher are its vast syllabus, in-depth understanding of each subject, and course duration.
Ques. How much time does an average student take to complete CA?
Ans. Generally, the total duration to complete a CA after schooling takes 4.5years and after graduation, it hardly takes 3 years. Nevertheless, the span extends by 6 months with every vain attempt.
Ques. What would a student do if he had not cleared CA yet?
Ans. Well, there is no upper age limit for clearing it. yet, those who have not passed and looking for other options can pursue other professional accounting/finance-related courses like Cost and Management Accountancy (CMA), Chartered Financial Analysts (CFA), Association of Chartered Certified Accountants (ACCA) program, and Company Secretaryship (CS)
Ques. Can a CA become an income tax lawyer?
Ans. Yes, the direction given by the Council under clause (7) of Part I of the First Schedule to the CA Act states that a CA who is qualified may, subject to the permission of the Bar Council, can practice as an advocate.
Ques. Should I do a B.Com and then CA?
Ans. You can pursue CA simultaneously no matter if you are attending BCom from a regular college or an open / correspondence/distance learning program of a college.
Ques. Do analysts need math?
Ans. In terms of math proficiency, Credit analysts are expected to have a basic understanding of the ability to handle basic algebraic expressions and solve equations. CA also needs a familiarity with how to graph different types of functions.
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