Commercial Credit Underwriter

Position Purpose:

The Commercial Underwriter underwrites commercial business and real estate loan requests. The underwriter analyzes financial information, borrower and guarantor business and credit history, tenant leases, property condition reports and appraisals, market trends and conditions and recommends loan actions. Analyzes commercial loan applications and renewals and determines credit worthiness and appropriate grading for consideration of the initial loan request and annual risk grading. Assist the sales staff to maximize the cross sales effort as the loan request is being processed. Prepare loans for legal documentation and monitor the closing process. Follow up to ensure timely renewals, reporting requirements, and compliance with First Fed Bank policies and regulatory guidelines.

Essential Functions:

• Perform credit analysis and underwrite commercial loan applications received by Relationship Managers to determine eligibility of request, ensuring compliance with First Federal Lending policies and regulatory guidelines.
• Review and evaluate credit data provided by commercial loan requests and analyze annual financial data and sources of financial information to determine profitability and qualification of loan. Based on completed analyses and using approved format:
• Perform all key ratios to determine borrower/project strength and compliance with First Federal commercial credit policies and procedures.
• Analyze loan collateral including property condition reports and overall strength of the borrower/applicant. Recommend the addition of collateral, guarantors, or alternative loan terms or underwriting enhancements as necessary.
• Recommend the terms of conditions and covenants of the Business Loan Agreement for each loan.
• Prepare the loan presentation document to support and evaluate the loan request, determine credit quality for loan grading purposes, make recommendations, and identify the potential risks associated with the proposed credit. Discuss any adverse credit issues with the Credit Administrator.
• Define loan documentation requirements for transactions, review existing loan documentation for validity, in relation to each credit reviewed.
• Ensure all due diligence and background evaluation is complete and thorough before credit approval is granted.
• In coordination with the Relationship Managers prepare the narrative portion of the Credit Memo,
• Ensure that all loan files presented to Loan Committee have been properly reviewed and prepared and are pre-approved prior to presentation by the Credit Administrator and/or the Chief Credit Officer.
• Verify that all the conditions of approval are met and approve/decline any exceptions to the conditions of approval prior to signing/closing.
• Review new loan documentation prior to signing/closing for accuracy and validity, in relation to each loan.
• Perform credit analysis and underwrite existing commercial loan relationships. Key duties include:
• Perform financial analysis of existing borrowers to provide an overall assessment of debt service potential, business financial viability and strength of guarantors for credit support. Such analysis will include cash flow, tax return details, ratio analysis, profit and loss and balance sheet assessments for the borrower and supporting guarantors.
• Analyze the quality of collateral as to value and credit support for current or requested credit transactions. Define perfection requirements for collateral.
• Define appropriate structure and pricing for requested transactions/relationships, including workouts and troubled debt restructures.
• Ensure that all existing credit files are well organized and updated with current financials and other documentation required in the business loan agreement.
• Participate in Credit Committee discussions of presentations as requested by the Credit Administrator and the Chief Credit Officer
• Participate in the Special Assets Committee for Commercial Loans.
• Coordinate with the Relationship Manager and/or their support staff to ensure the required financial information required for the loan is collected from the borrower and prepared in proper format.
• Ensure that Risk Rating Worksheets are prepared in an accurate and timely manner.
• Review all property inspections prepared by the Relationship Managers.
• Perform annual risk assessments on existing credits in accordance with defined policy and schedule. Primary duties include:
• Work with relationship manager of account to obtain current financial information on borrower and any guarantors.
• Using defined analysis format, document results of analysis highlighting areas of developing concern that will be discussed with Credit Administrator, Chief Credit Officer, and the Relationship Manager.
• Prepare final risk rating document including the assessment of the risk grade to be assigned to credit/relationship.
• Maintain current working knowledge of commercial lending industry, which, may include the following:
• Independently research and analyze company and industry data, including state, local and federal publications, and newspapers.
• Participate in training to enhance financial analysis skills.
• Maintain business, collateral, Real Estate and industry knowledge through education and reading material.
• Ensure compliance with Bank Secrecy Act (BSA) regulations and other federal and state regulations pertinent to this position.
• Complete annual BSA training in a timely manner in accordance with BSA regulations and internal policies and procedures. Maintain regular and predictable attendance.
• Perform related duties and responsibilities as required.
  
  

Qualifications/Requirements:

• Undergraduate degree in Finance, Business Administration or Accounting, or related work experience.
• Commercial Credit Underwriter I - Typically requires accounting and financial analysis skills as developed through a combination of Bachelor’s Degree and related work experience. This is typically a nonexempt position with 1 to 2 years of relevant banking experience.
• Commercial Credit Underwriter II - Typically requires accounting and financial analysis skills as developed through a combination of Bachelor’s Degree and related work experience. This is typically an exempt position with 3 to 4 years of relevant banking experience.
• Senior Commercial Credit Underwriter - Typically requires demonstrated accounting and financial analysis skills as developed through a combination of Bachelor’s Degree and related work experience. Incumbent may be considered a subject matter expert (SME) based on demonstrated experience commercial loan underwriting processes and requirements. May provide work direction to others as needed. This is typically senior level exempt position requiring 5 or more years of relevant banking experience.
• Established knowledge of financial accounting theory and logic, loan structuring, commercial products and services.
• A proven ability to interpret and discuss analytical data and make credit recommendations to Senior Management and/or Risk Management on strategic issues or initiatives.
• High level of accuracy, organization skills and attention to detail is required.
• Excellent credit analysis, accounting and mathematical skills are required.
• Ability to handle pressure and remain adaptable in a fast-paced, changing work environment. Ability to complete a high volume of work efficiently and with accuracy.
• Ability to assume responsibility and accountability for decision making required.
• Demonstrated ability to work effectively and independently, as well as work in teams and interact effectively with all levels of bank personnel and outside contacts.
• Ability to deal with the public, in person and by the telephone, in a personal and professional manner.
• Excellent organizational skills with efficient work demeanor that allows involvement in multiple areas.
• Excellent verbal and written communication skills are necessary.
• Ability to utilize personal computers, and Windows-driven programs, with an emphasis on the Microsoft Office suite of applications, specifically Word and Excel
• Ability to develop and maintain a working knowledge of First Federal policies, procedures, and systems.
  
  

Physical Requirements:

The work requires the ability to operate office machines and equipment, such as personal computers, printers, copying machines and telephones. The work requires the ability to communicate clearly with customers, coworkers, and others in person and on telephones. Work activities involve combinations of sitting/standing for extended periods.

Pay Range

• The pay range for For the Underwriter II position is $65,478.40 -$111,313.28
• The typical hiring range for this position is $65,478.40 – $75,136.46
• Commercial Credit Underwriter II - Typically requires accounting and financial analysis skills as developed through a combination of Bachelor’s Degree and related work experience. This is typically an exempt position with 3 to 4 years of relevant banking experience.
• The pay range for for the Senior Underwriter position is $72,026.24 - $122,444.61
• The typical hiring range for this position is $72,026.24 – $82,650.11
• Senior Commercial Credit Underwriter - Typically requires demonstrated accounting and financial analysis skills as developed through a combination of Bachelor’s Degree and related work experience. Incumbent may be considered a subject matter expert (SME) based on demonstrated experience commercial loan underwriting processes and requirements. May provide work direction to others as needed. This is typically senior level exempt position requiring 5 or more years of relevant banking experience.
• Pay range may be higher depending on location
• The incentive plan for this position is the Credit Support Incentive plan. Payouts for the Credit Support plan are determined at the end of each quarter using a balanced scorecard for each function. The Threshold, Target, and Stretch percentages of the participant’s base salary for this plan are as follows:
• Threshold
  
  

Target

Stretch

5%

7.5%

10%

• Employees will be eligible for our benefits package including medical, dental, and vision insurance, paid time off, retirement plans (401k with company match and Employee Stock Ownership Plan), gym membership reimbursement, discounts on our banking products, and more! Additional information on our benefits package can be viewed at https://www.ourfirstfed.com/careers