WHAT DOES A COMMERCIAL LOAN PROCESSOR DO?

Published: July 26, 2024 - The Commercial Loan Processor meticulously reviews daily loan progress, identifying necessary actions to expedite processing. Ensures all loan documents undergo thorough review for accuracy, completeness, and compliance with regulatory standards. Coordinates effectively between clients, underwriters, and relevant departments to maintain clear communication and timely updates on loan status.

A Review of Professional Skills and Functions for Commercial Loan Processor

1. Commercial Loan Processor Duties

  • Documentation Coordination: Working with the lending officer to ensure the client has all the proper documentation for completion.
  • Third-Party Report Management: Order, review, and confirm receipt of third-party reports, such as title commitments, flood, credit reports, etc.
  • Loan Closing Coordination: Coordinating and overseeing the loan closing process, including loan closings with third-party title companies.
  • Loan Booking: Booking loans to the core system in accordance with signed loan documentation.
  • Funds Distribution: Distributing funds and posting fees to appropriate GLs.
  • Loan Document Review: Reviewing and approving all loan documents before closing to ensure compliance with underwriting covenants, internal policies, and regulations.
  • Loan Processing: Work with loan officers to gather documents, and process, review, and package business loan files in a timely and accurate manner.
  • File Management: Help files transition from each stage of the pipeline.
  • Documentation Production: Produce and collect required loan documentation and supplemental documents according to established department standards.
  • Customer Service: Provide informed, prompt, professional, and accurate service.
  • Support Assistance: Support to all members and associates by responding to email.

2. Senior Commercial Loan Processor Details

  • Documentation Ordering: Order pre-closing documentation and title commitments, flood determinations, appraisals, surveys, lien searches, title searches, etc., based on loan approvals and commitment letters.
  • Loan Documentation Preparation: Accurately prepares and reviews loan documentation for business loan closings within Wolters Kluwer ComplianceOne with various levels of complexity.
  • Compliance Assurance: Ensure loan documents are compliant with credit approval, and internal lending policies & procedures.
  • Documentation Review: Obtains and/or conducts a thorough review of corporate and collateral documentation, i.e., operating agreements, final title policies, UCC- filings/searches, etc.
  • Issue Resolution: Works with loan officers and credit staff to effectively communicate and resolve issues on document requests.
  • Professional Response: Responding in a professional and timely manner while maintaining effectiveness when working on sensitive transactions.
  • Loan Funding: Fund loans upon receipt of executed documents and when conditions of approval have been met.
  • System Administration: Administrator for Compliance One i.e. updates, enhancements, etc.
  • Exception Tracking: Initial input of exception information (tickler items) through Wolters Kluwer CASH OnTrack system.
  • Tax Monitoring: Input and monitoring of property tax information on all real estate loans through InfoPro.
  • Inquiry Assistance: Assists with all business loan inquiries to the department from business members, branches, etc.

3. Commercial Loan Processor Responsibilities

  • Documentation Preparation: Prepares documentation for commercial real estate loan renewals and modifications.
  • Credit Documentation: Prepare documentation for Letters of Credit.
  • Non-Real Estate Documentation: Prepare documentation for commercial non-real estate documents while maintaining service level standards.
  • Consumer Loan Documentation: Prepare documentation for consumer loans while maintaining service level standards.
  • Vendor Forms Preparation: Prepare New Vendor Forms for new vendors with invoices due on new loans.
  • Accuracy Maintenance: Receive high-level accuracy on job-related functions.
  • Guideline Updates: Keep abreast of all Investor guidelines and changes that may affect loan status.
  • Industry Knowledge: Maintain current knowledge about the industry, market trends, competitive position, etc.
  • Productivity Achievement: Strive to achieve and exceed productivity expectations and standards.
  • Best Practices Development: Develop best practice checklists.
  • Customer Interaction: Interact with customers via phone, and chat and should be able to answer servicing questions.

4. Commercial Loan Processor Accountabilities

  • Loan Review: Review loans in process daily and determine what is needed to process loans quickly
  • Document Audit: Perform document review and processing system audit to ensure information integrity
  • Compliance Evaluation: Evaluate and ensure overall loan documents are accurate, complete, and compliant
  • Report Review: Review various reports including Credit, Income, Assets, and Collateral documents (Appraisal, HOI, Flood, Title, etc.) to determine compliance with investor requirements
  • Package Creation: Create a loan submission package for the Underwriting department
  • Template Tracking: Create/keep track of 'Still Needs Template' from initial submission through closure
  • Effective Communication: Communicate effectively with clients and underwriters on follow-ups and queries
  • Condition Sign-off: Sign off on processing conditions
  • Letter Processing: Process approval and denial letters
  • File Status Maintenance: Maintain the status of all files in process and updates

5. Commercial Loan Processor Functions

Information Collection: Collect information and documents to take each file from pre-approval to closing

Due Diligence: Assist in due diligence by reviewing documents including property, borrower information, credit, appraisal, insurance, and title - ultimately preparing a file to be closed

Document Review: Review file documents and request pending items

Third-Party Coordination: Order and review loan documents from the third-party attorney

Accuracy Assurance: Responsible for ensuring that all loan documents and closing statements are accurate and reflect loan terms

Executed Document Review: Review executed loan documents provided by the Closing Agent

Final Checklist Preparation: Prepare a final checklist for file completeness on each transaction

Professional Communication: Communicate with borrowers, fellow employees, and clients in a manner that shows sensitivity, tact, and professionalism

Regulation Understanding: Understand rules, regulations, policies, and procedures

Loan Information Input: Input proper loan information into the system for processing

Post-Disbursement Management: Attend to post-disbursement loan matters