Credit Analyst is a person who analyses and assesses the creditworthiness of a company or individual or banks. It is a risky and high responsibility involved job that deals with the evaluation of whether a company or individual or other firms can pay back the debts and loans on time.
The Career as a credit analysts can turn out to be a lucrative option in the future due to the following facts:
- With the various schemes of the central government such as “Make in India” or “Atma Nirbhar Bharat” the amount of investment in the industrial sector has increased over the last two years leading to a rise in the demand for loans. Thus the banks or the investors are hiring more credit analysts to tackle the massive rise in demand.
- The financial sector that mainly hires the credit analysts is expected to grow by 8.5% per year hence creating job opportunities for credit analysts.
- The number of startups in India is growing by 18 %. This startup demands a large amount of investments that requires a thorough check of their credit worthiness, hence creating more opportunities for the credit analysts.
In order to pursue a career as a credit analysts the candidates must pursue relevant courses at the various diploma, undergraduate and postgraduate level. Some of the relevant courses are BCom in Financial accounting, BCom in Finance, BSc Finance and many more.
Credit Analysts in India earn between INR 5,00,000 to INR 14,00,000. Besides, the students must be strong in subjects like statistics, economics, calculus, financial statement analysis and risk arrangement.
- How to become a Credit Analysts: Quick Facts
- What does a Credit Analyst Do?
- Steps to Follow
- Types of Credit Analysts
4.3 Credit and Collections Analyst
5.1 How to Become a Credit Analyst in India after 12th
6.1 Bachelor of Commerce in Accounting and Finance
6.2 B.Com in Financial Accounting
6.3 BSc Finance
7.1 UK
7.2 Canada
7.3 Australia
8.1 Skills required to be a Credit Analyst
8.2 Top Recruiters for Credit Analysts in India
9.3 Experience Based
Credit Analysts: Quick Facts
| Industry | Finance sector |
| Eligibility | Bachelor's degree in Accounting, Banking and Finance |
| Average salary of Credit analyst | INR 5,00,000 to INR 14,00,000 |
| Job opportunity | Credit analyst, Associate Manager, Quant Analyst, Risk Analyst |
What Does a Credit Analyst Do?
The following are the primary job responsibility of a credit analysts:
- Credit Analysts must assess the creditworthiness of an individual or company. This also includes finding out the ability of the companies as well as the individual to pay their debt by analyzing the earnings, payments, debts, loans and other financial information.
- The credit analysts also check and review the credit limit used and allowed for an individual.The credit analysts often check the credit limit assigned for individuals that has previously taken loans from the firm and reasigns their limits
- The credit analysts are required to undertake quick quantitative analysis of the various numerical data that are presented to them, so that they are able to make quick decision regarding the sanction of loans
- Another role played by the credit analysts is analysing the financial position of a company in case of high loans and large debts to avoid the risks of losing money.
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Prepare and store data regarding financial transactions, credit applications, loans and credit policies in the form of Excel sheets and reports.
How to Become a Credit analyst : Steps to follow
While choosing a career is one of the crucial parts of one’s life , having a clear path to follow to achieve your dream is a different ball game altogether. There are some simple yet important steps to become a Credit Analyst.
Decision Making
Before choosing a course in studying to become a Credit analyst the candidates need to do some research. Students aspiring to become credit analysts must have basic skills like analysing, quantitative and problem solving skills along with an exposure to Finance, banking and Accounting subjects. The candidates must be aware of the responsibilities that come with choosing the career path as a credit analyst. The candidates must be aware that one slight miscalculation in predicting the credit worthiness of an individual or entity can lead to the loss of millions. If the candidates have interest in the Banking and Finance field and possess the required skills, Credit analyst is the path to choose.
Choose the right subjects
Candidates must choose a stream that would enable them to pursue the career as a credit analyst. It would be ideal that the candidates pick up the commerce stream in their 10+2 level so that they have the ideal foundation. However, the candidates from the other streams such as arts or science can study the relevant courses. Candidates should try to have mathematics and statistics as some of the compulsory subjects in their 10+2 level. Choosing relevant Bachelor’s degree streams like BCom in Financial Accounting,BCom in Finance, BSc Finance helps candidates gain technical knowledge.
Prepare for entrance examination
For admissions into BSc, BCom and other Bachelor degrees candidates must have to pass the entrance tests. Entrance examinations that are commonly conducted are CUET, BHU UET and DU JAT etc. A strategic preparation must be undertaken by the candidates to qualify in the examination. The preparation for the various courses requires meticulous preparation.Candidates have to make a proper schedule and strategy as a part of their preparation for these entrances to get high scores. Candidates can take up various coaching to prepare for the entrance examination.
Choose the right college
Getting educated in a good and perfect college is always the most important thing. For this you need to have a valid score in the entrance examination. Only then it is possible for you to get admission in the Government colleges. The candidates must check out the various rankings released by various agencies such as the NIRF, India Today or outlook. The candidates must also contact the various seniors of the colleges before making a final choice. Once selected candidates can attend the counselling session and get admitted into the college.
After qualifying examination
After qualifying examination the candidates indeed have the most important days of their career. Candidates should take examinations for all semesters and gain a good CGPA overall. This qualifies the candidates to apply for Credit analyst jobs.
Types of Credit Analysts
Various jobs are offered to the Credit Analysts in banks, firms, financial organizations, companies and many more. Let us discuss some of the types of Credit Analysts:
Commercial Credit Analyst
- The job is commonly also referred to as Risk analyst. They analyse and evaluate the commercial loan requests and decide whether to approve or deny the applications.
- Mostly the Government authorized agencies, banks and commercial lenders recruit them. In short they determine the ability of the customers who can and cannot repay the loans.
- Candidates with a diploma or bachelor degree are eligible to apply for the job. Having skills and technical knowledge in Mathematics, Accounting and Finance helps the candidates in becoming a good commercial credit analyst.
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Banks, firms, industries, companies, institutions and organizations also recruit the candidates having a MBA degree. On analysing the data the candidates must be able to assess whether the company or individual is financially fit to grant and receive the loans and debts.
Credit Research Analyst
- They are responsible for analysing the credit worthiness of an individual. The credit limit allowed is checked and reviewed, for all the individuals. Through this they can determine the position of an individual if he can pay back the debt or not.
- Mostly the commercial and investment banks, credit rating agencies recruit credit Research analysts. So the credit research analysts must be able to conduct due diligence about the companies or individuals to offer them loans and repayments.
- They must use analytics and formulas to assess the risk factors of the companies or individuals to avoid losses. The creditworthiness is quite important to the lenders so they can decide whether or not to grant loans.
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Credit Research Analysts go through the credit history, transactions, information and balance sheets of all the companies and individuals.
Credit and Collections Analyst
- The role of a credit and Collections analyst is to assess the riskiness of a company or individual for allowing credit or collecting the repayments. By analysing the account statements, transactions and credit scores plans will be created consequently for the repayment of debts.
- Mostly the collection agencies recruit them in order to make sure of the repayments. They also take up the collection calls in order to ensure the repayments. In short they serve as mediators between providers and customers.
- Maths and Communication skills are mostly important for the candidates to work in this role. The candidates will be given training for up to 3 months regarding the work. So once the training is over they are recruited as employees.
How to become a Credit Analyst in India?
The career as a credit analyst is becoming highly popular in India. This has been partially attributed to the increase in the overall business activities and the overall trend of increase in the number of startups in India. There are a wide range of courses that the candidates can take up in India in order to become a financial analyst. Most of the courses preferred by the candidates are generally undergraduate courses. However some companies in India prefer to have candidates with masters degrees.
Let us understand the preparation candidates must take at various education levels in order to become credit analysts in India.
School Level Preparation
Students aspiring to become credit analysts can start the preparation from school Level itself. It is ideal that the candidates start their preparation in various subjects related to the various core finance subjects such as Accounts, Business Economics and other management related subjects.
- In order to become a credit analyst the candidates must have knowledge about the financial markets as well as the various nooks and crooks of the financial statements.
- Thus, it is preferable for the students to choose commerce as their stream in their 10+2 level. However candidates from the science and arts stream can choose relevant courses in Finance and pursue a career as a credit analyst.
- For some courses at the undergraduate level, the candidates must have mathematics or statistics as part of compulsory subjects
- Most of the top colleges choose students based on the marks scored in entrance examinations. So it is best to start preparing for the exams like CUET, BHU UET from the 11th itself.
- There are some colleges that choose candidates based on the merit list. Thus, it is necessary for the candidates to pass their 12th or equivalent examination with good marks (at least 70%). Also the candidates can improve their overall competence ny taking up various certificate courses such as tally, etc
How to Become a Credit Analyst in India after 12th?
After completing their 12th or equivalent examination the candidates can take up various courses at the undergraduate and postgraduate level. Most of the candidates prefer to take up the full time course as it allows them to have better career prospects.
UG level Preparation
On the completion of 12th students can pursue various Undergraduate courses from Banking, Accounting and Finance streams that would help them get well versed in the subjects that are necessary to become a Credit analyst.The following are the undergraduate preparation that the candidates can take
- Apply for the entrance examinations CUET, BHU UET and qualify in it for admissions into the UG courses. Choose BCom in Financial Accounting or BSc in Finance or other relevant stream.
- On the selection of desired specialization, students must work hard to score a minimum aggregate of 60% marks in order to get job offers from top companies.
- One thing that the candidates can do during the course is that they can start preparing for entrance examinations for the various post graduttre courses such as MCom or MBA. The candidates should focus on specialization pertaining to the finance field. The popular entrance exams are BHU PET, CAT, etc.
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Similarly the candidates can take up various professional courses such as CA, CS or CFA, in order to improve their job prospects.
PG level Preparation
Though most of the companies and organizations prefer Bachelor’s degree as the educational qualification for a Credit analyst job some students continue studying PG in order to get superior jobs and better pay.
- The candidates can pursue Master of Commerce Finance, MCom Accounting and Finance, MSc Banking and Risk courses.
- Even for the admissions into Master’s students must have to appear for the relevant entrance examinations such as CAT and CET.
- After getting admission in the desired course the candidates can work in various accounting or consultancy firms on a part time basis so that they can get adequate exposure.
- Most of the candidates also go for various internship projects during the post graduate courses.
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Those who wish to research more about the financial market and related fields can opt for the PhD or MPhil Courses.
Courses to become a Credit Analyst
In India various courses are available for candidates who want to pursue a career as credit analysts. The candidates are required to pass either a graduate or postgraduate degree especially in Finance or accounting in order to become a successful credit analyst in India. Most of the candidates prefer to pass the 12th or equivalent exam and undertake a bachelor program.
However, some of the candidates prefer to have a master degree before they start with their career, for better job prospects.
Here are some of the popular Course that the candidates can undertake
Bachelor of Commerce in Accounting and Finance
- BCom in Accounting and Finance is Specifically designed for candidates who want to pursue a career in financial analysis, accounting or financial practice.
- This course specifically helps students to prepare for entry level professional positions in public, private and Government organizations. In the three year duration students can also go for internship and gain work experience.
- Admission to BCom in Accounting and Finance is based on the merit list and entrance examination
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The average fee for the course ranges from INR 10,000 to INR 4,00,000.
Top Colleges
| College | Location | Fee |
|---|---|---|
| SRM IST | Chennai | 2.5 lakhs |
| St Paul's College | Bangalore | 1.8 lakhs |
| Birla Institute of Management | Greater Noida | 2.95 lakhs |
| Christ University | Bangalore | 2.9 lakhs |
BCom in Accounting and Finance Entrance Examination
| Exam | Registration Dates | Exam Date | Result Dates |
|---|---|---|---|
| CUET | Till March 12, 2023 | May 21, 2023 – May 31, 2023 | June – July 2023 (Expected) |
Let us discuss the CUET entrance examination more vividly
CUET Entrance Exam Eligibility
The eligibility criteria for the CUET entrance examination are:
- The candidates should have passed the 12th or equivalent examination from a recognised board or university.
- The candidates who are appearing for the 12th are also eligible to apply for the entrance examination.
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The candidates are required to score a minimum of 50% in their 12th or equivalent examination.
How to apply?
- The candidates are required to login to the website of the Christ University and register themselves.
- The candidates are then required to submit their details along with the necessary documents such as photo, signature, etc.
- The candidates must submit the application form and make the payment in online mode.
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One thing that the candidates must keep in mind is what cycle of admission they are willing to participate in and must fill up their choices accordingly.
Tips for Preparation
- Preparing for the Entrance examinations with heavy competition is not easy. The candidates must know the syllabus thoroughly and prepare accordingly.
- CUET consists of Fundamental Accounting , Mathematics, Reasoning and Data Analysis and Interpretation as syllabus. Likewise all the exams have respective syllabus. Download the syllabus of the respective exam.
- Being thorough with the core concepts of Class X to Class XII helps the candidates solve Mathematics and Reasoning questions as well.
- After being thorough with the concepts try to solve all the previous year question papers and mock tests.
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Try to analyse yourself about how your preparation is going. Know your preparation level and improve your weak areas.
B.Com in Financial Accounting
- BCom in Financial Accounting deals with the concepts of finance, commerce and accounting and imparts knowledge to the students related to the Banking and insurance sectors.
- It is a three year full time Undergraduate program. The curriculum of the BCom in Financial Accounting program consists of fundamentals of Accounting and Finance practices. Through this the students can learn technical skills for financial analysis and Accounting standards.
- Admission to the BCom in Financial Accounting is based on the merit scored in the qualifying examination or entrance based examinations.
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Candidates must have passed 10+2 or it's equivalent with a minimum of 50% aggregate marks from a recognized board.
Top Colleges
| College | Location | Fee |
|---|---|---|
| Shri Ram College of Commerce | Delhi | 45,000 |
| Christ University | Bangalore | 2,45,000 |
| Lady Shri Ram College for Women | Delhi | 1,65,000 |
| St. Xavier's College | Mumbai | 61,000 |
Entrance Examinations
For admission into BCom in Financial Accounting various National and State level examinations are conducted. Through a good score in these exams students can easily get into the top most colleges.
| Exam | Registration Dates | Exam Date | Result Dates |
|---|---|---|---|
| NMIMS NPAT | June 2023 (Expected) | April – June 2023 (Expected) | To be announced |
| JET | January 30, 2023 | June 2023 (Expected) | To be announced |
| DSAT | 3 days before the entrance examination | 4th week of April 2023 (Tentitive) | To be announced |
Let us understand the BHU UET Entrance examination with a bit more detail:
Eligibility Criteria of BHU UET
- Students must have passed 10+2 or it's equivalent with a minimum of 50% aggregate marks from Mathematics or Science stream from a recognized board.
- Candidates who have appeared in the entrance examination for the regular courses last time and have taken admission to the various courses within the university cannot take part in the entrance examination.
- The reservations for the entrance examination are provided on the basis of the reservation criteria put forward by the university council (generally a 5% relaxation in the overall marks obtained by the candidates belonging to the reserved categories.
How to Apply to BHU UET?
- Candidates who wish to apply for the BHU UET entrance examination conducted by the Banaras Hindu University, should visit the university website “bhuonline.in”.
- Then the candidates must register themselves in the particular website and click in the new application.
- Candidates must be careful while selecting the subject. After filling in the necessary details the candidates are required to submit the application and pay the fees of the entrance examination.
- After the payment of the entrance examination fees the candidates must take up the receipt of the application form for further reference.
Preparation Tips
While some States also conduct examinations for the students. Some of the State level examinations conducted by the Universities for BCom in Financial Accounting courses are as follows:
- The syllabus of BHU UET entrance includes accountancy, Financial statement analysis, financial markets and Economics. All these subjects might not be studied by you from class X to class XII. So spending extra time to cover all the subjects is the best way.
- Prepare a time table to study. Make sure you finish the subjects on time as planned. A delay in completion of a certain topic one day leads to problems for the next day’s preparation.
- To know your preparation level, solve as many previous question papers as possible and attend mock tests.
- From starting to the end of preparation make sure you stay active, positive and confident without being pessimistic.
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Practice for time management because that is what exhibits your skills and speed as well.
Important Links:
BSc Finance
- This is a three year full time Undergraduate course that includes concepts of finance with both theory and practical knowledge.
- Being a specialization degree the course particularly focuses on financial concepts, economics, marketing and accounting.
- The average fee for BSc Finance ranges from INR 2,00,000 to INR 3,00,000.
- The BSc Finance is one of the newer courses that has been introduced in India and only a handful of colleges teach this course.
- The colleges that are best to pursue BSc Finance are Narsee Monjee Institute of Management studies, SGM college, Degloor College.
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The candidates after the completion of the course are approached by companies for filling up various posts such as financial analysts, bankers, accountants and credit analysts
Eligibility Criteria For the NPAT
The Eligibility criteria for the entrance examination includes
- Students must have passed 10+2 or it's equivalent with a minimum of 60% aggregate marks from a recognized board.
- The Students must have either mathematics or statistics as their compulsory subjects in their 12th or equivalent level.
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The candidates must be below 25 years of age at the time of admission.
How to Apply?
- First the candidates are required to visit the university website with an active phone number and Email ID and register themselves.
- An ID and password will be generated. The Candidates must preserve the ID and Password for future reference
- Then the candidates are required to fill up the application form with their personal details and upload the necessary documents and save the data.
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Then the candidates are required to pay the application fees and take out the admission receipt.
Preparation Tips
- The syllabus of NPAT exam is Quantitative and Numerical Ability, Reasoning and General Intelligence and Proficiency in English language.
- At least two months preparation is required for you in order to stand at the top in the competition. So make sure you start with enough time in your hands.
- Numerical Aptitude, General intelligence, Reasoning ability and verbal questions are some of the major topics that have most of the weightage. So practice more to score as much as possible in these sections.
- To know your preparation level, solve as many previous question papers as possible and attend mock tests.
- From starting to the end of preparation make sure you stay active, positive and confident without being pessimistic.
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Manage your time well and be careful while solving. Give your best in the exam.
Important Links:
How to Become a Credit Analyst Abroad
Candidates often prefer to pursue Credit Analysis courses from the foreign nations. The reason behind this is that the foreign universities provide the candidates with better infrastructural support along with research facilities and of course a better payment.
Let us see the various courses that the students can pursue in different foreign nation to become a successful credit analysts
UK
The UK offers a number of Banking, Accounting and Finance courses that can be pursued by the Indian students. However, the students who want to study in the UK should keep the following things in mind before opting for admissions.
Educational Requirements
- In Case of admission to the undergraduate courses the candidates must have passed 10+2 or its equivalent with a minimum of 70% aggregate marks from a recognized board. In some cases the candidates are required to score over 80% in their 12th.
- Some colleges prefer the candidates to have mathematics and english at their 10+2 level . The minimum score required for these two particular subjects are generally mentioned by the individual colleges.
- In case of post graduation degree the candidates need to pass the respective undergraduate course with at least 65% marks.
Other Requirements
- Some courses might require their candidates to have prior work experience. Accordingly, proof of employment is to be submitted.
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Apart from work experience most colleges require the candidates to submit their list of academic references, letter of recommendation and a state of purpose.
Application Process
- Applications can be submitted online.
- Students can visit the official website of preferred college and follow the application process.
- A pre interview or pre assessment will be conducted by some of the colleges. So the students must submit them within the deadline.
- Follow the instructions as mentioned by the Universities. Out of 50,000 students who apply for various Universities in the UK only 15,000 students make it.
- So make sure you give your best in the process involved. Earn a Bachelor’s or Postgraduate degree and follow your career.
Top colleges
| College | Location | Courses offered | Fee |
|---|---|---|---|
| University of Cambridge | England |
Master of Finance Master of Philosophy Finance |
36.84 Lakhs |
| University of Oxford | England | Master of Science Financial Economics | 43.30 Lakhs |
| Imperial College of London | London |
Master of Science Finance Master of Science Finance and Accounting |
38.12 Lakhs |
| University of Edinburgh | Scotland |
Master of Arts Accounting and Finance Master of Arts Accounting and Business Master of Science Accounting and Finance Master of Science Banking and Risk |
36.4 Lakhs |
| University of Manchester | Manchester | BA (Hons) Economics and Finance | 33.9 Lakhs |
| University of Birmingham | Birmingham | Accounting and Finance BSc | 31.0 Lakhs |
| Anglia Ruskin University | Cambridge | BSc (Hons) Accounting and Finance | 21.0 Lakhs |
Canada
Canada offers a number of Banking, Accounting and Finance courses that can be pursued by the Indian students. However, the students who want to study in Canada should keep the following things in mind before opting for admissions.
Educational Requirements
- In case of admission to the undergraduate courses candidates must have passed 10+2 or its equivalent with a minimum of 60% aggregate marks from a recognized board. In some cases the overall mark can go upto 75 to 80%.
- In most cases the candidates are required to pass their 12th with mathematics as well as english as their compulsory subjects.
- In the case of admission to the post graduate program the candidates must have passed their graduation program from a recognised university with at least 3.0 GPA (Around 80%) to get admission in top colleges.
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The candidates need to pass English proficiency tests such as IELTS and TOEFL. In some cases a good score in GRE/CAEL/CAN TEST exams is also required.
Other Requirements
- The candidates are required to submit their resume as well as all their transcripts.
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The candidates are required to submit their relevant work experience certificate, personal statement about what their goals are and letter of recommendation and list of references.
Admission Process
- Applications can be submitted online.
- Students can visit the official website of preferred college and follow the application process.
- A pre interview or pre assessment will be conducted by some of the colleges. So the students must submit them within the deadline.
- Students must apply as fast as possible to the Visa as they will be asked by the immigration. Submitting the required applications and following the instructions within the deadlines is very important to get admissions.
Top colleges
| College | Location | Courses offered | Fee (INR) |
|---|---|---|---|
| University of Toronto | Toronto |
Bachelor of Commerce Specializations: Accounting, Economics, Finance and economics |
48.1 Lakhs |
| The University of British Columbia | Vancouver | Bachelor of Commerce | 17.45 Lakh |
| McMaster University | Hamilton | Bachelor of Commerce | 29.65 Lakh |
| University of Waterloo | Waterloo | Accounting and Financial Management | 29.65- 37.01 Lakh |
| University of Manitoba | Winnipeg | Bachelor of Commerce Honours in Finance | 19.7 Lakh |
| Ryerson University | Toronto | BSc(Hons) in Financial Mathematics | 17.5 Lakhs |
| Concordia University | Montreal | Master of Science in Finance | 20.63 Lakhs |
Australia
Australia offers a number of Banking, Accounting and Finance courses that can be pursued by the Indian students. However, the students who want to study in Australia should keep the following things in mind before opting for admissions.
Educational Requirements
- In the case of admission to the undergraduate courses, candidates must have passed 10+2 or its equivalent with a minimum of 60% aggregate marks from a recognized board.
- The candidates need to have maths in their 12t for admission to some of the top colleges in Australia.
- In the case of admission to the post graduate programs the candidates are required to pass the graduate program from a recognized university with a minimum aggregate score of 60%.For the Postgraduate courses students must have a Bachelor’s degree in Accounting, Banking and Finance courses. In some cases the score can go upto 75% or more. The aggregate score depends on the college and universities.
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The candidates need to pass English proficiency tests such as IELTS and TOEFL. In some cases a good score in GRE/GMAT exams is also required.
Other Requirements
- Apart from the educational requirements the candidates are required to provide letters of recommendation, list of references.
- In some cases the candidates are required to submit documents pertaining to their previous work experience.
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Candidates are also required to submit a statement of purpose.
Admission Process
- Applications can be submitted online.
- Students can visit the official website of preferred college and follow the application process.
- A pre interview or pre assessment will be conducted by some of the colleges. So the students must submit them within the deadline.
- At the time of admission originals of the required documents must be submitted. Those are:
- Mark sheet of the qualifying examination.
- Completed application form
- English proficiency test scores
- Copy of passport and Visa
Top Colleges
| College | Location | Courses offered | Fee (INR) |
|---|---|---|---|
| University of New South Wales | Sydney | Bachelor of Commerce | 20.7 lakhs |
| University of Melbourne | Melbourne | Bachelor of Commerce | 24.5 lakhs |
| The Australian National University | Australia |
Bachelor of Accounting Bachelor of Commerce |
28.9 lakhs |
| Monash University | Australia |
Bachelor of Commerce Bachelor of Global Studies Bachelor of Economics |
23 lakhs |
| University of Queensland | Brisbane | Bachelor of Advanced Finance and Economics (Honours) | 24.8 Lakhs |
| University of Adelaide | Adelaide | Bachelor of Finance | 24.3 lakhs |
| University of Western Australia | Perth | Bachelor of Philosophy (Hons) in Finance | 24.2 lakhs |
Benefits of a career as Credit Analyst
One of the main things that is required to run any business is the capital investment. The organisations involved in banking, accounting and finance analyze the earnings and repayment of the loans and debts. All these responsibilities fall under the domain of credit analysts. In addition to the risk, responsibilities and hard work involved in this work there are a lot of benefits as a Credit Analyst.
Let us take a look at them:
Salary
At entry level, a credit analyst earns between INR 5,00,000 to INR 14,00,000. The average salary actually depends on the firms where the credit analysts are employed. The website Payscale postulates that credit analysts in India earn INR 601,000 per annum. The employees in top firms can earn more than INR 24,00,000 per year. Working days may be tiring but they also get bonuses and allowances in between for holidays. Also they are allowed other perks such as insurances, heat check ups.
Job security
Finance is one of the constantly growing fields in terms of employment. As long as there is Importance for money credit analysts will always be in demand. Increasing population leads to increase in credit and debit. And with the initiative of the Indian government in promoting various small scale industries and Start ups, the job scope of credit analysts in India will only increase in the future. This in turn leads to demand in employees for maintaining the data. Hence, improve job security.
Positive Impact of the Career
Credit analysts describe the positives and negatives in the financial system. The credit analysts basically help the companies or the organisation to understand about the creditworthiness of individuals. They help to prevent creation of bad debt for the organisation. So there are no difficulties in allowing credits or paying back the debts. So preventing various financial organisations from bad debt and eventual bankruptcy brings a positive impact on the career of an individual.
Unique Experience
Financial system is the underlying backbone for the world economy. The credit analysts are one of the main individuals that help the system run continuously without collapsing by properly judging the credit worthiness of individuals. Only the analysts can avoid financial risks of an organization through proper analysis and allow them to invest property. Thus, it creates an unique experience for them.
Skills required to be a Credit Analyst
- Financial and Quantitative Skills
- Due diligence
- Proficiency in Software
- Ability to work under pressure
- Accounting skills
- Computing skills
- Communication skills
- Knowledge in risk analysis
- Documentation and organization analysis
id="20"Top Recruiters for Credit Analysts in India
Mostly the commercial and investment banks, Government authorized agencies, companies, firms and lenders recruit the credit analysts. Some of the top most companies are:
- Banks such as HDFC, SBI, ICICI, Axis, Bandhan, etc hire credit analysts so that they are able to sanction loan sto the individuals
- Investment banks
- Private agencies and lenders often hire credit analysts
- Credit Rating agencies such as CRISIL, ICRA Limited, CARE, etc
- Consultancy firms such as Goldman Sachs, PwC, Deloitte, etc
- Insurance Companies such as LIC, Bharti AXA, Sun Life Insurance, SBI Life Insurance , etc.
Salary of a Credit Analyst in India
The salary of credit analysts in India based in their specialization, work experience, gender and type of organisation has been explained below:
Organization Based
The following are the salary of credit analyst based in the organization type
| Organization | Average Fees |
|---|---|
| Government | 11,40,000 |
| Private | 17,00,000 |
Specialization wise
The following are the salary of Credit analysts based on their specialization
| Specialization | Average Salary |
|---|---|
| Commercial Credit analyst | 6,50,000 |
| Credit Research analyst | 17,00,000 |
| Credits and Collections analyst | 7,00,000 |
Experience wise
The following are the salary of individual credit analyst in India based in the experience level
| Experience Level | Average Salary (INR) |
|---|---|
| Fresh level | 7,00,000 |
| Mid level | 9,00,000 |
| Experienced | 14,00,000 |
How to Become Credit Analyst in India : FAQs
Ques: Is credit analyst a good job?
Ans: Credit analyst is one of the lucrative jobs in finance. With sharp analytical skills and financial knowledge you can easily pursue an enriching career. The financial market and its relevant field in India always remains open with ample opportunities in Accounting, Banking and Finance sectors.
Ques: Can I be a credit analyst without a degree?
Ans: Though credit analyst is one of the lucrative jobs in the financial sector you don’t really need a degree for the job. Having knowledge in major subjects like economics, statistics, credit, financial analysis and risk management can get you recruited for the fresher level jobs in Accounting, Banking and Finance. Explanation during the interview with additional certifications is just enough for the job. However, it is ideal that the candidates have some relevant degree just to be on the safeside
Ques: How many hours does a credit analyst work?
Ans: The work and personal life are generally equally balanced for the individual working as credit analysts. It is basically a 9 to 6 job where an individual works for up to 45 hours a week.However based on the work performed by the individuals, one may need to do overtime work at month ends to review the loans and repayments. Otherwise, a credit analyst job is less hectic.
Ques: What type of a person makes a good credit analyst?
Ans: People with good quantitative and analytical skills in solving problems and managing risks make a good credit analyst. Along with due diligence, Proficiency in software, handling work under pressure and working hard, staying positive for work is required to be a good credit analyst.
Ques: How can I improve my credit Analysis skills?
Ans: Through research, practice and study a candidate can improve the skills required for credit analysis. The use of various softwares for data analysis, problem solving, and risk management in your daily routine can help you improve all your skills. Moreover you can also start going for internships so that you can gain direct experience related to the work.
Ques: What are the things a student must be aware of before becoming a credit analyst?
Ans: Students aspiring to become a Credit analyst must be aware of basic accounting, statistics, financial analysis, industry assessment, risk management and analyzing skills. With gaining knowledge in major subjects and acquiring skills this will be a starting step for your career as a credit analyst.
Ques: Is credit analyst a stressful job?
Ans: Yes, the job of a credit analyst can be a bit stressful. The job of credit analyst involves analyzing creditworthiness of an individual or company. It deals with many responsibilities and duties in maintaining the financial system of the economy. Indeed it is one of the lucrative jobs to balance the allowing of credits and Collections of money. So it includes a huge collection of data. Hence it is one of the stressful jobs with many benefits and bonuses.
Ques: What can I do after becoming a credit analyst?
Ans: Ample opportunities are available for all the candidates pursuing a Credit analyst career. With advanced qualifications and increased experience you can easily make progress towards the superior jobs such as Consumer credit analyst, Corporate credit analyst and credit investment analyst. With five years experience and Master’s degree you can become a Credit manager.
Ques: How much does a Credit analyst make?
Ans: At starting or fresher level employees as Credit analysts makes INR 5,00,000 to INR 10,00,000. With the increase in experience and job positions they can easily earn INR 41,00,000 per annum. Overall almost 10% of the top most employees earn more than INR 24,00,000 per year.
Ques: What are the additional certifications that bring value in order to pursue career as Credit analyst?
Ans: Besides Undergraduate and Postgraduate courses in the fields of banking, Accounting and Finance the following certifications add on more value to the CV of the candidates who purses to be a credit analysts:
- Certified Credit and Risk Analyst (CCRA) from NACM
- Credit Risk Certification (CRC) from RMA
- Certified Credit Professional (CCP) from CIC
- Commercial Banking & Credit Analyst (CBCA) from CFI
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