Loan Review Quality Assurance Lead

The role:

The Loan Review Quality Assurance Lead is responsible for overseeing the quality and integrity of loan reviews within the second line of defense framework. This role ensures that the bank’s loan review oversight adheres to internal policies, regulatory requirements, and best practices. The position requires strong leadership skills, in-depth knowledge of lending processes, risk management, and a keen eye for identifying potential risks and control gaps in loan underwriting, documentation, and servicing practices.

The Loan Review Quality Assurance Lead will collaborate with internal stakeholders, such as the first line of defense (Credit departments) and third line of defense (Internal Audit), and provide guidance on remediation efforts for identified issues, ensuring effective risk mitigation strategies ensuring that loan quality assessments are performed with consistency, accuracy, and in line with regulatory expectations. This role also involves support and preparation for Internal and External Audits. 

What you’ll do: 

• Lead Loan Review Quality Assurance:
• Execute quality assurance (QA) process for loan reviews to ensure accuracy, consistency, and adherence to internal policies, regulatory requirements, and industry standards.
• Perform independent reviews of loan files, focusing on underwriting, credit quality, risk assessment, compliance with loan covenants, documentation, and servicing processes.
• Assess the effectiveness of controls related to loan origination, servicing, and risk management tested within Loan Review.
• Identify trends, patterns, and systemic issues from loan reviews and provide quarterly reporting of our results with actionable corrective plans for continuous improvement.
• Collaboration and Stakeholder Engagement:
• Work closely with the first line of defense (e.g., loan origination, underwriting, and servicing teams) to understand and address operational challenges and potential areas of risk.
• Partner with the third line of defense (Internal Audit) to facilitate audits and ensure compliance with all risk management standards and practices.
• Communicate findings and provide actionable recommendations to senior management, ensuring timely resolution of risk-related issues.
• Regulatory and Policy Compliance:
• Stay up to date with changes in regulatory requirements, industry trends, and best practices in loan quality management and risk assessment.
• Ensure the loan review process complies with internal policies and external regulatory requirements, such as the Dodd-Frank Act, RESPA, SR-2013, and FDIC regulations.
• Assist in preparation for regulatory examinations and audits, ensuring timely submission of requested documentation and responses to inquiries.
• Targeted Horizontal Reviews:
• Design and lead focused horizontal reviews across different credit portfolios to evaluate cross-team consistency and performance.
• Provide feedback and actionable insights to the CRR Manager and the VP, Loan Review, on areas of improvement and successes across teams.
• Ensure horizontal reviews include a thorough analysis of key risk areas such as underwriting practices, collateral management, and loan monitoring.
• Report Findings and Communicate Recommendations:
• Summarize findings from QA and horizontal reviews, preparing clear, concise reports with actionable recommendations for improvement.
• Communicate QA review outcomes to the CRR Manager and VP, Loan Review, ensuring timely resolution of identified issues.
• Present recommendations and best practices to CRR teams and leadership, fostering a culture of continuous improvement.
• Support Internal and External Audits:
• Assist in preparing CRR for internal and external audits or regulatory exams, ensuring that all processes are in compliance with applicable standards and regulations.
• Collaborate with auditors and examiners to ensure findings are appropriately addressed and remediated.
• Maintain detailed documentation of QA reviews and corrective actions taken, as required by audit and regulatory standards.
• Training and Development:
• Support the development and delivery of training programs to improve CRR team members’ understanding of quality assurance processes, risk management principles, and best practices.
• Provide guidance and mentorship to junior members of the CRR team in areas related to quality assurance and effective credit risk review processes.
• Continuous Process Improvement:
• Identify opportunities for enhancing the efficiency and effectiveness of the CRR function through process optimization and automation.
• Keep current on industry trends, emerging risks, and changes to regulatory requirements, integrating relevant insights into CRR’s processes and practices.

What you’ll need:

• Education: Bachelor’s degree in Finance, Accounting, Business Administration, or related field (Master’s degree or professional certifications such as CFA, FRM, or CPA preferred).
• Experience:
• 7+ years of experience in credit risk management, loan review, or a related field within a financial institution.
• Proven experience conducting quality assurance reviews or audits, with a deep understanding of credit risk assessment processes.
• Strong knowledge of SR 20-13 and other regulatory requirements (e.g., OCC, FRB, FDIC), risk management frameworks, and best practices in credit risk review.
• Skills:
• Strong analytical, problem-solving, and critical thinking skills.
• Excellent written and verbal communication skills, with the ability to present findings and recommendations to senior management.
• High attention to detail and organizational skills.
• Ability to collaborate across teams and lead initiatives aimed at improving quality and consistency.
• Proficiency with Microsoft Office Suite and credit risk management software/tools.