Credit analysts are hired by commercial and credit unions to analyze the financial data of a potential client. The analyst will evaluate the client’s credit payment history, assets, liabilities, and earnings history to determine their suitability for credit terms. In the case of a company, the credit analysts will evaluate its audited financial statements, management accounts, and market data.

the credit analyst looks at the client’s level of risk to determine if the lender is protected if the borrower defaults on their obligations. The lender relies on the credit analyst’s report to determine whether to approve or deny credit facilities, depending on the level of risk that the client presents.

A credit analyst can also be assigned the role of reviewing the credit limits of existing customers to determine if they qualify for an increase in their credit limit. The analyst assesses the borrower’s repayment history, earnings information, any history of defaulting on credit.

The credit analyst will gather the relevant financial data from the customer and write a report on whether the customer’s current financial condition allows them to meet their financial obligations. The company will look at the credit analyst’s report and decide whether to increase or decrease a customer’s credit limit.