Top Credit Analyst Certifications - List and Overview of Top Designations

What are the Top Credit Analyst Certifications?

If you’re considering a career as a credit analystSenior Credit AnalystA senior credit analyst is a finance professional who is responsible for evaluating the credit history of individuals or organizations to identify the risk level of loaning them money. They make recommendations based on the results of their assessments using credit agency tools., or are already working as one, having a professional accreditation can be a big boost to your career, and more specifically, your ability to quickly move up the ladder. This article will provide an overview of each of the top credit analyst certifications and accreditation for new or experienced professionals who want to move up the ladder in business banking, commercial bankingCommercial Banking Career ProfileA Commercial Banking career path is providing clients with credit products such as term loans, revolving lines of credit, syndicated facilities, cash management services, and other fixed income products. As a credit analyst or account manager, you deliver financial advice, corporate banking, and other areas of credit analysisCredit AnalysisCredit analysis is the process of determining the ability of a company or person to repay their debt obligations. In other words, it is a process that determines a potential borrower's credit risk or default risk. It incorporates both qualitative and quantitative factors..

List of the Top Finance Certifications:

Certified Credit and Risk Analyst® (CCRA®) from NACM
Credit Risk Certification (CRC) from RMA
Certified Credit Professional (CCP) from CIC
Certified Banking & Credit Analyst (CBCA)™ from CFI

list of credit analyst certifications

Certified Credit and Risk Analyst® (CCRA®)

The CCRA certification is governed by the National Association of Credit Management (NACM®) and focuses on the interpretation and analysis of financial statementsThree Financial StatementsThe three financial statements are the income statement, the balance sheet, and the statement of cash flows. These three core statements are intricately and the skills required to evaluate and make recommendations about credit opportunities. In order to earn the certification, candidates must demonstrate mastery of the content from three courses: (1) financial accounting, (2) financial statement analysis, and (3) credit and risk assessment. Course #3 on credit and risk assessment serves as the final exam for the entire designation.

Pros

NACM has been around since 1896 and is committed to promoting good credit, which means looking out for businesses (borrowers), credit analysts (professionals) and lenders.

Cons

Completing the credit analyst certification program requires taking an in-person course at NACM’s national headquarters or at the credit congress expo event.

Credit Risk Certification (CRC)

The Credit Risk Certification (CRC) is offered by the Risk Management Association (RMA®). In order to complete the program, professionals need to have at least three years of experience working with credit risk. Key concepts covered in the accreditation include: assessing an industryIndustry AnalysisIndustry analysis is a market assessment tool used by businesses and analysts to understand the complexity of an industry. There are three commonly used and, evaluating a management team, analyzing financial statements, measuring/calculating cash flow, understanding collateral, identifying risks, and managing clients.

Pros

The program offers a very comprehensive curriculum that teaches important aspects of credit analysis.

Cons

The CRC requires at least 3 years of credit experience, so recent graduates will be unable to earn this certification without experience (and professional experience can be hard to get without a certification).

Certified Credit Professional (CCP)

The Certified Credit Professional (CCP) program covers a broad curriculum that includes preparing analysts to be able to oversee a credit team that covers individual consumers, the construction industry, merchants, international, and other types of creditTypes of CreditThe 3 main types of credit are revolving credit, installment, and open credit. Credit enables people to purchase goods or services using borrowed money.. The curriculum is designed to be self-study (textbooks) and also incorporates online learning modules. Students have up to 7 years to finish the program, but some finish it in as little as 2-3 years.

Pros

This program is comprehensive in the material it covers and the pass rate is ~70%.

Cons

The CCP requires candidates to have 5+ years of industry experience to earn the certification and the cost is ~$3,000.

Certified Banking & Credit Analyst (CBCA)™

A brand new and popular option for credit analyst professionals is to earn a credit analyst certification from the Corporate Finance Institute® (CFI). Courses cover topics that cover the ‘5 C’s of Credit5 Cs of CreditThe "5 Cs of Credit" is a common phrase used to describe the five major factors used to determine a potential borrower’s creditworthiness. Financial institutions use credit ratings to quantify and decide whether an applicant is eligible for credit and to determine the interest rates and credit limits for existing borrowers.‘, evaluating a business plan, assessing management teams, cash flow cycles, risk assessment, and more. The full Certified Banking & Credit Analyst (CBCA)™ ProgramCBCA™ CertificationThe Certified Banking & Credit Analyst (CBCA)™ accreditation is a global standard for credit analysts that covers finance, accounting, credit analysis, cash flow analysis, covenant modeling, loan repayments, and more. at CFI is an affordable investment, starting at $497, and comes with over 17 courses and more than 50 hours of video instruction.

Pros

The CBCA™ teaches a comprehensive overview of credit analysis, constructed by experienced credit professionals. Students of the CBCA™ program learn the material at their own pace and take the examination online to suit their convenience. Candidates require zero work experience to pursue the program, adding valuable credibility to an individual’s track record. The targeted pass rate is approximately 70%.

Cons

The course content is accessed online which requires an Internet connection and a suitable electronic device to view and watch the lecture videos. A self-paced program may not be preferred by everyone as some individuals work better with deadlines.

Skills Acquired

The most practical credit analysis skills gained from this certification include:

Learn more about CFI’s CBCA certificationCBCA™ CertificationThe Certified Banking & Credit Analyst (CBCA)™ accreditation is a global standard for credit analysts that covers finance, accounting, credit analysis, cash flow analysis, covenant modeling, loan repayments, and more. or browse all CFI courses.

Compare the Designations

Below is a comparison table of various criteria including timing, cost, duration, and focus for each of the four financial designations.

	CCRA®	CRC	CCP	CBCA
Cost	Not available	$495	$3,000	$497
Pass Rate	Not available	Not available	70%	70%
Content Focus	Accounting, Financial Statements, Risk and Credit	Industry, Strategies, Balance Sheets, Cash Flow, Collateral, Documentation	Credit Management, Canadian Law, Business Communication	Financial Analysis, Management Assessment, Industry Analysis, Risk, etc
Career Application	Credit Analysts	Credit Analysts	Credit Analysts	Credit Analysts
Completion Time	Not available	Not available	2-3 years	<1 year
Work Experience	1,500 hours	3 years	5 years	None

The above table was prepared without prejudice, from publicly available information on each designation’s website.

More Credit Analyst Certification Resources

CFI is on a missionMission & ValuesCFI's mission is to help anyone become a world-class financial analyst. Learn more about Corporate Finance Institute's mission, vision, values and culture to help you advance your career. That means providing all the tools, training, and templates you need to be a world-class financial analystThe Analyst Trifecta® GuideThe ultimate guide on how to be a world-class financial analyst. Do you want to be a world-class financial analyst? Are you looking to follow industry-leading best practices and stand out from the crowd? Our process, called The Analyst Trifecta® consists of analytics, presentation & soft skills. CFI courses will give you the ability to distill large amounts of complex information into clear takeaways and recommendations; you’ll have the confidence you need to rise through the ranks.

In addition to the credit analyst certifications listed above, CFI also has many free resources to help you in your journey to become a certified credit analyst. CFI’s most popular free resources include:

Commercial Credit Analyst SalaryCommercial Credit Analyst SalaryThe commercial credit analyst salary depends on several factors. They include educational background, certifications earned, skills, and number of years of
Credit Analyst Job DescriptionCredit Analyst Job DescriptionThis Credit Analyst Job Description outlines the key skills, experience, and education for the position. A credit analyst needs to assess the
Commercial Banking Interview QuestionsCommercial Banking Interview QuestionsThe most common commercial banking interview questions and the best answers to them. Prepare for your commercial banking interview with CFI's guide. We've organized the interview questions and guide into two categories: technical (finance and accounting) and behavioral (personality and relationships)
Commercial Banking Salary GuideCommercial Banking Salary GuideIn this commercial banking salary guide, we cover several jobs in the commercial banking sector and their corresponding midpoint salaries for 2018. A commercial bank is a financial institution that provides a range of services to individuals and businesses.