Commercial Banking Careers

What​ ​is​ ​a​ Commercial Banking Manager?

Commercial banks provide financial services and are the largest type of financial institutions within the banking industry. Through their bank, a Commercial Banking Manager provides services to individuals and companies that include loans and payment, credit, and investment services.

Commercial Banking Managers also provide financial planning and brokerage services. They must have extensive knowledge of the financial world. They develop relationships with individuals, small businesses, and large corporations, helping all manage their finances.

 

What is a Commercial Banking Manager Responsible For?

Commercial Banking Managers provide financial advice to clients about various financial options. They promote their bank’s financial services and products while assisting their clients with their commercial banking needs.

The Federal Reserve System regulates commercial banks, so Commercial Bank Managers Jobs must excel at managing the bank’s daily activities within the legal framework set up to protect bank customers. Commercial Bank Managers manage many aspects of banking and they coordinate various banking departments and direct operations that benefit clients while ensuring bank profit. They utilize strong customer service skills to acquire new accounts and assist existing customers with their financial concerns.

Commercial Banking Managers can expect to work at any of the following tasks:

•        Managing loan portfolios
•        Managing client relationships
•        Formulating loan structure
•        Identifying problem accounts and creating solutions for repayment
•        Preparing credit reports
•        Providing general operational decisions
•        Creating bank policy and directing banking procedures
•        Preparing reports for board committees for review
•        Advising commercial clients about investment opportunities
•        Assisting all clients with bank services and products
•        Monitoring all accounts
•        Promoting banking services
•        Planning and problem-solving
•        Managing bank projects
•        Training and supervising banking staff
•        Complying with all legal regulations

 

To be successful as a Commercial Banking Manager, prospects will need to develop the following skills:

•        Exceptional Communication Skills. Commercial Banking Managers work with people who are experts at finance and also with people with limited financial skills. They must be able to communicate expertly with both. They need the ability to break down complex information to potential customers as well as working smoothly with other finance professionals. They must utilize written and oral excellence in all transactions, including client communications, interviewing and hiring activities, and supervision of all banking departments. They must have strong presentation skills to offer financial reports and progress to bank board members and committees.
•        Excellence in Customer Service. Commercial Banking Managers understand that their bank’s success depends on recruiting new clients and keeping existing clients very satisfied with the bank’s services. This involves putting client needs at the top of their to-do list every day. They must empathize with their clients, listening to their goals and concerns and what it takes to keep them happy with the bank’s services. Building relationships with customers and other bank employees ensures client retention and fosters comradery with other professionals within the banking organization.
•        Leadership and Management. To stay competitive in their industry, Commercial Banking Managers have to direct their teams to provide the best service possible. They must encourage the team members individually and as a whole and be able to compromise, negotiate, influence, and advise them. Good leaders are confident, empathetic, and capable of directing their organization for success.

 

Where Do Commercial Banking Managers Work?

Commercial Banking Manager jobs can be found in community banks, regional banks, or money center banks.

What Other Career Options Are Available to Commercial Banking Managers?

Careers available to Commercial Banking Managers include:

Credit Analyst

Commercial banks need experts who can evaluate consumer and business loan applications and make sound lending decisions based on the information they review. They must project the bank’s future cash flow, evaluate financial soundness, and interact with the other financial professionals in the organization. A Credit Analyst must be a detail-oriented individual who can initiate and analyze credit reporting procedures and report to the banking board.

 

Branch Manager

Responsible for the overall direction of the branch, Branch Managers are responsible for overseeing all activities in the bank. They assist with opening new accounts, conducting loan origination, interacting with customers, advising staff, and managing safe deposit box transactions. They must have strong customer service skills, quantitative ability, and organizational skills. They must also have a solid understanding of the banking industry. They lead staff and are responsible for improving and increasing bank performance.

 

Programmers

All banks must have secure software systems, and those systems require management and maintenance by experienced Programmers who possess strong knowledge of the banking industry. Banks need financial account processing software that streamlines operations, adapts to changing industry standards, and provides flexible real-time access to accounts, reports, and history. Software has to meet the regulations banks must operate under and must also be user-friendly for bank employees and customers as well. Programmers must also directly perform risk assessment tests to ensure security and keep the system free of outside penetration.

 

Mortgage Banker

Mortgage Bankers specialize in providing loans for homes. They work as part of the bank’s loan department, reviewing loan applications, meeting with clients, performing credit checks, and analyzing client credit worthiness. They provide financial counseling to clients, advising them on debt load, which debt to pay off, and how much money they will need to buy or refinance a home. They also counsel customers with declined loans. Additionally, Mortgage Bankers solicit new loans, developing and maintaining relationships with industry professionals such as real estate agents and developers.

 

What Degree Do You Need to Become a Commercial Banking Manager? What Do They Study?

Commercial Banking Managers typically earn a Bachelor of Science in Finance, Accounting, or Business Administration. Other majors may be acceptable if they involve studies in finance, business, or management. An undergraduate student should expect to become competent in financial planning, portfolio management, commercial lending, financial statement analysis, business math, securities management, and legal compliance.

A master’s degree in business administration, finance, or economics provides candidates with advanced analytical skills and also teaches financial analysis methods and software. While the Master of Business Administration gives students a broader base of business skills that’s transferable to multiple positions, the Master of Finance is highly specialized, focusing exclusively on finance-related subjects.

How Much Money Does a Commercial Banking Manager Earn?

Commercial Banking Manager jobs vary by industry, experience, and bank size and position in the market. The median annual salary is $89,000 per year. Commercial Banking Managers with five or more years’ experience can expect to earn approximately $130,750 per year with annual bonuses of more than $15,000. Vice presidents and managing directors can earn over $172,500 per year plus bonuses.

As with most positions in the field of finance, actual annual salary varies, depending on location, experience, and size of organization.