Credit Risk Analyst in Wisconsin Career Overview

As a Credit Risk Analyst, you play a central role in the financial services industry, focusing on assessing and managing the credit risk associated with lending activities. Your primary responsibility is to evaluate potential borrowers’ creditworthiness, ensuring that the financial institution you work for makes informed lending decisions.

  • You analyze data related to borrowers’ credit histories, income levels, and overall financial situations to determine the likelihood of repayment.
  • You utilize various analytical tools and models to predict credit risk, providing insights that guide lending policies and procedures.
  • Your work directly impacts the profitability of your organization by minimizing the likelihood of defaults and managing the quality of the loan portfolio.
  • Collaboration with different departments, including underwriting and risk management, is essential, as your analyses help shape strategies and mitigate potential losses.
  • Staying updated on market trends and regulatory changes is vital, as it allows you to adapt your assessment techniques and remain compliant with industry standards.
  • The insights you provide are critical for informing risk strategies, enhancing the decision-making process, and ultimately contributing to the stability and sustainability of financial institutions.

In this role, you serve as a key decision-maker within the organization, balancing risk management with the pursuit of new business opportunities. Your expertise helps ensure that the organization operates within its risk appetite, fostering a secure lending environment.

Credit Risk Analyst Salary in Wisconsin

Annual Median: $46,130
Hourly Median: $22.18

Data sourced from Career One Stop, provided by the BLS Occupational Employment and Wage Statistics wage estimates.

Required Education To Become a Credit Risk Analyst in Wisconsin

To become a Credit Risk Analyst in Wisconsin, you will typically need a bachelor's degree. Your educational path may involve one of the following college degree programs:

  • Actuarial Science: This program equips you with the mathematical and statistical skills necessary for analyzing risk and uncertainty, which is central to credit risk analysis.

  • Business Administration and Management: This degree provides a broad understanding of business principles, including finance, which is beneficial for evaluating credit risk.

  • Finance and Financial Management Services: A focus on finance will help you understand financial markets, investment strategies, and financial statements, essential for assessing creditworthiness.

  • Financial Analytics: This program combines finance and data analysis, preparing you to interpret complex financial data and make informed decisions regarding credit risk.

  • Financial Risk Management: This specialized program focuses on identifying and mitigating risk within financial organizations, which directly relates to the responsibilities of a Credit Risk Analyst.

You may also consider pursuing relevant internships or entry-level positions during your studies to enhance your education with practical experience in the financial industry. Additionally, obtaining certifications, such as the Financial Risk Manager (FRM) certification, can further enhance your qualifications post-graduation.

Best Schools to become a Credit Risk Analyst in Wisconsin 2024

#1Maricopa County

University of Phoenix-Arizona

Phoenix, AZ

In-State Tuition:$9,552
Out-of-State Tuition:$9,552
Admission Rate:N/A
Graduation Rate:18%
Total Enrollment:88,891
#2Merrimack County

Southern New Hampshire University

Manchester, NH

In-State Tuition:$15,000
Out-of-State Tuition:$15,000
Admission Rate:96%
Graduation Rate:41%
Total Enrollment:164,091
#3Salt Lake County

Western Governors University

Salt Lake City, UT

In-State Tuition:$7,404
Out-of-State Tuition:$7,404
Admission Rate:N/A
Graduation Rate:49%
Total Enrollment:156,935
#4El Paso County

Colorado Technical University-Colorado Springs

Colorado Springs, CO

In-State Tuition:$12,036
Out-of-State Tuition:$12,036
Admission Rate:N/A
Graduation Rate:20%
Total Enrollment:24,808
#5Maricopa County

Grand Canyon University

Phoenix, AZ

In-State Tuition:$16,407
Out-of-State Tuition:$16,407
Admission Rate:78%
Graduation Rate:45%
Total Enrollment:101,816
#6Lynchburg City

Liberty University

Lynchburg, VA

In-State Tuition:$15,467
Out-of-State Tuition:$15,467
Admission Rate:99%
Graduation Rate:66%
Total Enrollment:96,709
Credit Risk Analyst Job Description:
  • Authorize credit charges against customers' accounts.
  • Investigate history and credit standing of individuals or business establishments applying for credit.
  • May interview applicants to obtain personal and financial data, determine credit worthiness, process applications, and notify customers of acceptance or rejection of credit.

Credit Risk Analyst Required Skills and Competencies in Wisconsin

  • Analytical Skills: You must possess strong analytical abilities to assess complex financial data, identify trends, and evaluate risks associated with lending and investments.

  • Quantitative Skills: Proficiency in mathematics and statistics is essential for modeling credit risk and interpreting numerical datasets accurately.

  • Financial Acumen: A solid understanding of finance principles, including familiarity with credit instruments, financial statements, and market trends, is necessary for assessing borrower creditworthiness.

  • Attention to Detail: You need to be meticulous in reviewing credit applications, financial reports, and risk assessments to ensure accuracy and completeness.

  • Problem-Solving Skills: The capability to identify potential issues and propose actionable solutions is vital for mitigating risks and improving credit policy.

  • Communication Skills: You should be adept at both written and verbal communication, enabling you to present complex information clearly to stakeholders and collaborate with cross-functional teams.

  • Technical Proficiency: Familiarity with financial software, database management systems, and statistical analysis tools is critical for data analysis and reporting.

  • Regulatory Knowledge: Understanding of the regulatory environment surrounding credit and lending practices is important for ensuring compliance and minimizing risks.

  • Decision-Making Ability: You must be capable of making informed decisions based on data analysis and risk evaluation, often under time constraints.

  • Interpersonal Skills: Strong interpersonal skills are necessary for building relationships with colleagues, clients, and regulatory representatives while promoting collaboration and teamwork.

  • Time Management: The ability to prioritize tasks and manage time efficiently is essential in a fast-paced environment where deadlines are common.

Job Duties for Credit Risk Analysts

  • Compile and analyze credit information gathered by investigation.

  • Keep records of customers' charges and payments.

  • Obtain information about potential creditors from banks, credit bureaus, and other credit services, and provide reciprocal information if requested.

Technologies and Skills Used by Credit Risk Analysts

Electronic mail software

  • Email software
  • Microsoft Outlook

Presentation software

  • Microsoft PowerPoint

Spreadsheet software

  • Microsoft Excel
  • Spreadsheet programs

Basic Skills

  • Listening to others, not interrupting, and asking good questions
  • Talking to others

Problem Solving

  • Noticing a problem and figuring out the best way to solve it

Job Market and Opportunities for Credit Risk Analyst in Wisconsin

The job market for Credit Risk Analysts in Wisconsin is currently favorable, with a steady demand for professionals in this field. Here are several key factors influencing the landscape:

  • Growing Demand: Financial institutions, including banks and credit unions, are increasingly focusing on risk management. As organizations expand their portfolios and navigate complex regulatory environments, the need for skilled Credit Risk Analysts continues to rise.

  • Industry Growth: The financial sector in Wisconsin is experiencing growth, which contributes to expanding opportunities for Credit Risk Analysts. This growth is driven by both traditional banking institutions and emerging fintech companies that rely on data-driven decision-making.

  • Geographical Hotspots:

    • Milwaukee: As the largest city in Wisconsin, Milwaukee is a financial hub, hosting several regional banks and credit unions. The city offers numerous opportunities for Credit Risk Analysts, especially within risk management departments.
    • Madison: Known for its research and development sector, Madison is home to various financial services firms and startups. The demand for data analysis and risk assessment is high, offering promising roles for analysts.
    • Green Bay and Appleton: These cities, part of the Fox Valley region, have a growing financial services sector. Local banks and credit institutions are expanding their compliance and risk management teams, creating fresh career opportunities.

  • Impact of Technology: Advancements in technology and data analytics tools enhance the capabilities of Credit Risk Analysts. Employers seek individuals who can leverage these tools for more precise risk assessment, adding to job openings in tech-adjacent areas within the financial sector.

  • Networking and Professional Organizations: In Wisconsin, there are various networking opportunities through local financial services associations and professional groups. Engaging with these organizations can provide insights into job openings and industry trends.

Overall, the current job market for Credit Risk Analysts in Wisconsin presents a wealth of opportunities in both established firms and emerging companies, making it a promising career path if you are looking to advance in the financial services sector.

Top Related Careers to Credit Risk Analyst 2024

Loan Approval Specialist
Credit Assessment Officer
Financial Eligibility Reviewer
Credit Operations Coordinator

Additional Resources To Help You Become a Credit Risk Analyst in Wisconsin

  • Risk Management Association (RMA)
    Explore professional resources, research, and training tailored for credit risk professionals.
    Visit RMA

  • Chartered Financial Analyst (CFA) Institute
    Access educational materials and resources relevant to finance and risk analysis, including courses on credit risk.
    Visit CFA Institute

  • Global Association of Risk Professionals (GARP)
    Find certifications, networking opportunities, and publications focused on risk management, including credit risk analysis.
    Visit GARP

  • Credit Research Foundation
    Use this platform for research, education, and key resources related to credit risk and management.
    Visit Credit Research Foundation

  • Federal Reserve Bank
    A valuable source for economic data, analyses, and reports that can enhance your understanding of credit risk implications.
    Visit Federal Reserve

  • Association for Financial Professionals (AFP)
    Gain access to training and certification that highlight financial risk management principles, including credit risk analysis strategies.
    Visit AFP

  • Moody's Analytics
    Utilize research tools and insights for credit risk evaluation and financial modeling found on this platform.
    Visit Moody's Analytics

  • SAS Institute
    Discover a range of analytics solutions specific to credit risk management, along with white papers and case studies.
    Visit SAS

  • Institute of Risk Management (IRM)
    Learn about risk management standards, professional development resources, and relevant global news.
    Visit IRM

  • University of Wisconsin - Madison
    Consider local educational opportunities such as courses or programs in finance and risk management offered by the university.
    Visit UW-Madison

Be sure to explore these resources to deepen your knowledge and stay updated on the latest trends and practices in credit risk analysis.

Frequently Asked Questions (FAQs) About Credit Risk Analyst in Wisconsin

  • What does a Credit Risk Analyst do?
    A Credit Risk Analyst evaluates the creditworthiness of individuals or companies applying for loans or credit. You assess financial data, analyze credit reports, and utilize statistical models to predict potential risks related to lending.

  • What educational background is required to become a Credit Risk Analyst?
    Typically, a bachelor's degree in finance, economics, accounting, or a related field is required. Some positions may prefer or require a master's degree or certifications such as the Chartered Financial Analyst (CFA) designation.

  • What skills are essential for a Credit Risk Analyst?
    Key skills include strong analytical abilities, proficiency in statistics and financial modeling, attention to detail, and effective communication skills. Familiarity with risk assessment software and databases is also beneficial.

  • What software do Credit Risk Analysts typically use?
    Common software includes Microsoft Excel for data analysis, credit risk modeling tools, and financial databases like Bloomberg or S&P Capital IQ. Knowledge of programming languages such as SQL or Python can also be an advantage.

  • What are the typical work environments for Credit Risk Analysts?
    Credit Risk Analysts primarily work in financial institutions such as banks, credit unions, or investment firms. They may also find positions within corporate finance departments or financial consulting firms.

  • What is the job outlook for Credit Risk Analysts in Wisconsin?
    The job outlook for Credit Risk Analysts in Wisconsin is positive, driven by the growth of financial services and increasing regulatory demands for risk management. The need for skilled analysts is projected to grow.

  • What is the average salary for a Credit Risk Analyst in Wisconsin?
    As of the latest data, the average salary for a Credit Risk Analyst in Wisconsin ranges from $65,000 to $90,000 annually, depending on experience, education, and the specific employer.

  • Is certification important for a Credit Risk Analyst?
    While not always required, obtaining certifications such as the CFA or Financial Risk Manager (FRM) can enhance your credentials, demonstrate expertise, and improve your job prospects.

  • What career advancement opportunities exist for Credit Risk Analysts?
    You can advance to senior analyst positions, risk management director roles, or transition into related areas such as credit policy or portfolio management. Continuous education and certification can also facilitate upward movement.

  • What are the challenges faced by Credit Risk Analysts?
    Analysts often deal with large volumes of data and must stay current with changing regulations and market conditions. Balancing thorough analysis with the need for timely decisions can also be challenging.