What is a Credit Controller? Discover the Job Description, Role & Skills Required

For any organization to maintain a healthy cash flow and minimize bad debt, they need proper credit management. That's why a credit controller is essential in every business's Finance or Accounting department.

A credit controller manages and monitors the organization's credit policies and practices. Although their primary role is ensuring that customers and clients pay their outstanding invoices on time, they have other roles.

For instance, they can assess creditworthiness, set credit limits or even establish customer payment terms. That said, this article is for you if you are considering a career path as a credit controller.

We'll explore the fundamental requirements of becoming a credit controller, duties, and skills to prepare you for the role.

Credit Controller Job Description 

Are you curious to know what a Credit Controller job description looks like? In this section, we’ll share some of the key responsibilities, skills and qualifications that most companies require their candidates to have to qualify for the role.  

Key Responsibilities

The main responsibilities and duties of a credit controller include: 

• Assess the creditworthiness of new and existing customers.
• Generating and sending invoices to customers.
• Monitoring and tracking pending invoices.
• Addressing and resolving payment discrepancies, disputes and billing issues.
• Debt collection and collaborating with debt collection agencies when required.
• Maintaining accurate records of customers' payment history and debt recovery efforts.
• Building and maintaining solid relationships with debtors while enforcing payment obligations.

Requirements, Qualifications and Skills

A Credit Controller candidate should have the following skills and qualifications to qualify for the role: 

• Bachelor's degree in Finance, Accounting, or a related field.
• 3 years of proven experience as a Credit Controller or similar role in finance/accounting.
• Strong understanding of credit risk assessment and collections processes.
• Excellent communication and negotiation skills.
• Proficiency in financial software and basic knowledge of MS Excel.
• Detail-oriented, organized, and capable of meeting deadlines.
• Ability to work independently and as part of a team.
• Knowledge of relevant legal regulations (e.g., Fair Debt Collection Practices Act).

 What Does a Credit Controller Do? Discover Role and Responsibilities

A credit controller is a professional employed by different organizations to safeguard the company's revenue stream. They can work in a corporation, credit agency, credit union, insurance firm or any other financial agency.

They work closely with other colleagues in the financial and accounting departments to oversee and enhance the credit systems in the company. That includes ensuring that customers and clients pay their outstanding invoices on time.

Additionally, they communicate with clients to resolve payment issues, send payment reminders, and, if necessary, escalate unpaid debts to collections agencies.

What are the Top 3 Skills for a Credit Controller?

There are several skills that most companies look for in a credit controller when shortlisting candidates for a job, but the top three are usually:

Numerical and Analytical Skills

Most of the time, a credit controller is required to analyze financial data, calculate outstanding balances and assess the creditworthiness of debtors. Therefore, strong numerical and analytical abilities are crucial in making decisions about the credit limits and payment terms.

Being Capable of Working Under Pressure

Credit controllers often deal with high-pressure situations. For instance, they might need to chase overdue payments or resolve invoice disputes and most of the time, the debtors aren’t always very friendly. That's why, as a credit controller, you must be composed and remain focused even when working under pressure to manage challenges that might arise effectively.

Willingness to Learn

Since the field of credit control is ever-evolving, credit controllers must stay updated with industry practices and regulations. They should also have a proactive attitude towards learning and be in tune with legal rules, policies and financial software changes to excel in their role.

How to Become a Good Credit Controller?

Generally speaking, the work of a good credit controller is varied. Even though, on the surface, it seems as simple as chasing debt, typically, credit controllers possess a range of skills. Recently, there has been a spike in this industry which has led to the demand for quality credit controllers.

Meaning the competition is now stiffer than ever. Thankfully, you can accelerate your growth and success in this field by becoming an excellent credit controller. That said, start by taking a course in this industry and keep growing your career from there.

For instance, you can take a Masters in Finance from EAE Business School Madrid to expand your knowledge base in credit control and gain a better understanding of financial concepts and principles. This will set you apart from other applicants and open up opportunities to advance in your career.

Above all, you have to be extremely persistent and detail-oriented in pursuing debtors, especially if they are behind on their payments. Finally, you need to improve your oral communication skills. This will help you communicate with clients effectively and negotiate the terms, balancing the needs of both the company and the customers.

Credit Controller Educational and Experience Requirements

A successful credit controller candidate is expected to meet the following educational and experience requirements:

Educational Requirements

• Background in Finance
• At least a Bachelor’s degree in Finance, accounting, mathematics, or business.
• Masters in Finance will put you ahead of your competitors
• Should have one of the following certifications: CPA (Certified Public Accountant), Certified Financial Analyst (CFA) or Certified Internal Auditor (CIA).

Experience Requirements

• Proven background in making successful credit decisions
• Experience with data entry and analysis
• Exceptional teamwork, communication and organization skills
• Good track record with handling customers and winning negotiations

Final Thoughts on credit controller

Working as a credit controller is a great career path for anyone seeking to enter the world of finance. Although the entry requirements are not very strict, continuous progress in your professional career is necessary if you wish to grow and develop. 

Develop your soft and hard skills then gain experience in your role. As you develop your expertise, you will eventually advance to managerial and leadership positions like Collections Manager or Credit Manager.

Our Master's Degree in Finance will help you gain the insights that make a great financial professional and open up more opportunities for success in your career.