National Occupational Certificate: Micro-Finance Loan Consultant

Purpose

The National Occupational Certificate: Micro-Finance Loan Consultant or Officer equips learners with the skills and knowledge to effectively administer the entire lifecycle of a micro loan, from prospecting and acquiring consumers to ensuring loan repayments and maintaining compliance with regulations. Learners will gain practical experience in interacting with consumers in both face-to-face and call centre settings, while also developing the ability to monitor and administer a loan portfolio. By acquiring these competencies, learners will be well- prepared for a career in micro-finance, offering valuable support to individuals and communities while fostering financial inclusion and stability. Learners have the option to focus on individual lending, group lending or developmental lending as electives in the qualification.

The purpose of this qualification is to prepare a learner to function as a Micro-Finance Loan Consultant or Officer. Micro-finance Loan Consultants administer the entire lifecycle of a micro loan, ensuring compliance with regulations. Micro-finance Loan Consultants interact with consumers in a face-to-face or call centre setting.

A qualified learner will be able to

• Conduct prospecting activities to identify potential consumers and introduce them to lending products.
• Conduct consumer acquisition activities by processing loan applications.
• Monitor and administer the loan portfolio.
• Conduct workout activities related to the collection of loan repayments and refer defaulters to the collection department.

A qualified learner will demonstrate the following key attributes

• Sense of urgency.
• Adaptability.
• Effective team player.
• Critical thinking.
• Practically orientated.
• Customer focused.
• Innovative.
• Technology inclined.
• Culturally sensitive.

Rationale

The National Occupational Certificate: Micro-Finance Loan Consultant or Officer has been developed to address the need for skilled professionals in the micro-finance sector. As micro- loans become an essential tool for economic empowerment and poverty alleviation, there is a need for trained consultants who can effectively administer loan processes, ensure compliance with regulations, and assist consumers in managing their financial needs. This qualification addresses the gap by equipping individuals with the necessary expertise to contribute to the success and sustainability of micro-finance institutions and development financing.

The qualification is structured to provide learners with the option to select modules that pertain specifically to either Individual, Group or small Business consumers as elective modules in addition to the compulsory modules.

The National Occupational Certificate: Micro-Finance Loan Consultant or Officer will enhance the micro-finance sector by producing well-trained professionals who can effectively administer the loan process, improve customer service, and reduce risk through proper portfolio management. It will also ensure that micro-finance institutions comply with regulations, contributing to the stability and integrity of the sector.

Society will benefit from access to trained consultants; this qualification will help individuals and small businesses in underserved communities obtain the financial support they need whilst addressing responsible lending principles. It will also promote financial literacy, empowering consumers to make informed decisions and better manage their finances.

The National Occupational Certificate: Micro-Finance Loan Consultant or Officer will contribute to economic growth by fostering financial inclusion, enabling more people to access credit, invest in businesses, and improve their livelihoods. The qualification's focus on Developmental Lending will also support the growth of micro-enterprises, which are key drivers of job creation and economic development in many regions.

Typical learners include people who are already working within the Micro-Finance industry and those who wish to enter the field.

Collaboration with relevant stakeholders

• Micro-Finance Officers.
• Micro-Finance Lenders (for Individuals, Group and Developmental) Skills Development.
• Providers.
• Financial Services Regulators.

Typical occupations in which the qualifying learner will operate (if relevant) Micro-Finance Loan Consultant

Micro-Finance Loan Officer.

Profession(s) related

• Micro-Finance Officers.
• Micro-Finance Lenders (for Individuals, Group and Developmental) Skills Development Providers.
• Financial Services Regulators.

Recognition of Prior Learning (RPL)

RPL for access

• Learners may use the RPL process to gain access to training opportunities for qualification if they do not meet the formal, minimum entry requirements for admission. RPL assessment provides an alternative access route into a qualification.
• Such an RPL assessment may be developed, moderated, and conducted by the accredited Skills Development Provider which offers that specific qualification. Such an assessment must ensure that the learner is able to display the equivalent level of competencies required for access, based on the NQF level descriptors.

RPL for exemption from modules

For exemption from modules through RPL, learners who have gained the stipulated competencies of the modules of a qualification through any means of formal, informal or non- formal learning and/or work experience, may be awarded credits towards relevant modules, and gaps identified for training, which is then concluded.

RPL for credits

• Learners who have gained the stipulated competencies of the modules of a qualification through any means of formal, informal or non-formal learning and/or work experience, may be awarded credits towards relevant modules, and gaps identified for training, which is then concluded.
• A valid Statement of Results is required for admission to the EISA in which confirmation of achievement is provided that all internal assessment criteria for all modules in the related curriculum document have been achieved.
• Upon successful completion of the EISA, RPL learners will be issued with the QCTO certificate for the qualification. Quality Partners are responsible for ensuring the RPL mechanism and process for qualifications is approved by the QCTO.

Entry Requirements

An NQF Level 3 qualification.

This qualification is made up of compulsory Knowledge, Practical Skill, and Work Experience Modules

Knowledge Modules

• 421301-001-00-KM-01, The Credit Industry, NQF Level 3, 10 Credits.
• 421301-001-00-KM-02, Prospecting: Selling and Marketing Loans, NQF Level 4, 15 Credits.
• 421301-001-00-KM-03, Consumer Acquisition and Loan Processing for Individuals, NQF Level 4, 10 Credits.
• 421301-001-00-KM-04, Consumer Acquisition and Loan Processing for Group Lending, NQF Level 4, 10 Credits.
• 421301-001-00-KM-05, Consumer Acquisition and Loan Processing for Developmental Lending, NQF Level 4,10 Credits.
• 421301-001-00-KM-06, Loan Portfolio Management, NQF Level 4, 5 Credits.
• 421301-001-00-KM-07, Collections and Workout, NQF Level 4, 12 Credits.
• 421301-001-00-KM-08, Security at Lending Institutions, NQF Level 4, 3 Credits.
• 421301-001-00-KM-09, Principles of Service Excellence and Building Consumer Relationships in a Micro-Finance Environment, NQF Level 4, 8 Credits.

Total number of credits for Knowledge Modules: 83

Practical Skills Modules

• 421301-001-00-PM-01, Conduct Prospecting Activities to Identify Potential Consumers and Meet Performance Targets, NQF Level 4, 6 Credits.
• 421301-001-00-PM-02, Administer Credit Applications from Individual Consumers, NQF Level 4, 8 Credits.
• 421301-001-00-PM-03, Administer Credit Applications from Group Consumers, NQF Level 4, 8 Credits.
• 421301-001-00-PM-04, Administer Developmental Lending Applications, NQF Level 4, 8 Credits.
• 421301-001-00-PM-05, Monitor and Administer Loan Portfolios, NQF Level 4, 7 Credits.
• 421301-001-00-PM-06, Conduct Workout Activities Related to the Collection of Loan Repayments, NQF Level 4, 7 Credits.

Total number of credits for Practical Skill Modules: 44

Work Experience Modules

• 421301-001-00-WM-01, Prospecting Processes to Identify Potential Consumers and Meet Performance Targets, NQF Level 4, 5 Credits.
• 421301-001-00-WM-05, Processes to Monitor and Administer Loan Portfolios, NQF Level 4, 5 Credits.
• 421301-001-00-WM-06, Workout Processes Related to the Collection of Loan Repayments, NQF Level 4, 7 Credits.

Total number of credits for Work Experience Modules: 17

Exit Level Outcomes

1. Apply essential prospecting methods, procedures and techniques.
2. Process credit applications for consumer acquisition activities.
3. Interpret information to monitor and administer the loan portfolio.
4. Apply essential collection workout methods, procedures and techniques.

Associated Assessment Criteria for Exit Level Outcome 1

ELO 1: Apply essential prospecting methods, procedures and techniques.

• Define or confirm criteria for identifying potential consumers as a reminder when engaging during networking events and marketing campaigns to raise awareness of micro loan products.
• Draft sales performance targets are set, and their achievement reports.
• Define loan products in terms of potential consumer profiles.

Associated Assessment Criteria for Exit Level Outcome 2

ELO 2: Process credit applications for consumer acquisition activities.

• Check relevant information for credit applications and apply validation criteria.
• Capture credit applications using credit application forms and/or electronic systems.
• Evaluated credit information in loan applications against credit-granting criteria.
• Conclude credit application and prepare agreements for signing.

Associated Assessment Criteria for Exit Level Outcome 3

ELO 3: Interpret information to monitor and administer the loan portfolio.

• Track and review loan repayment schedules to ensure timely payments.
• Gather and analyse loan performance data to identify potential risks or delinquencies.
• Outline follow-up procedures to be used during interaction with consumers to discuss their repayment status.
• Prepare reports on loan portfolio performance for management review.
• Outlines guidance and support principles for use with consumers facing financial difficulties to prevent or address loan defaults.

Associated Assessment Criteria for Exit Level Outcome 4

ELO 4: Apply essential collection workout methods, procedures and techniques.

• Identify outstanding loan repayments and outline collection processes.
• Consider debt collection techniques for implementation in specific context.
• Evaluate and amend agreed-upon repayment arrangements to address consumer non-adherence.
• Document and escalate cases of non-payment for further action.

INTEGRATED ASSESSMENT

Formative Assessments

Formative assessments are conducted throughout the training of learners. A range of formal, non-formal, and informal ongoing assessment activities are used to focus on teaching and learning outcomes to improve learner attainment.

Formative assessments are conducted continuously by the facilitator to feed into further learning, to identify strengths and weakness, and to ensure the learner's ability to apply knowledge, skills and workplace experience gained.

Formative Assessments are conducted by the accredited Skills Development Provider (SDP), and a variety of ongoing assessment methods may be used, for example, quizzes, assignments, tests, scenarios, role play, interviews. Continuous feedback must be provided.

Integrated Summative Assessments

Integrated Assessment involves all the different types of assessment tasks required for a particular qualification, such as written assessment of theory and practical demonstration of competence. To achieve this, the Internal Assessment Criteria (IAC) for all modules as found in the QCTO curriculum document must be followed.

An accredited SDP should implement a well-designed, formal, relevant, final internal Summative Assessment strategy for all modules to prepare learners for the EISA. These assessments evaluate learning achievements relating to the achievement of each module of the relevant components of the qualification.

Internal Summative Assessments are developed, moderated and conducted by the SDP at the end of each module or after integration of relevant modules, e.g., applied knowledge tests, workplace tasks, practical demonstrations, simulated tasks/demonstrations, projects, case studies, etc. The results of these final formal summative assessments must be recorded. These results, which include the Statement of Work Experience results, where applicable, contribute to the Statement of Results (SoR) that is a requirement for admission to the EISA. A SoR, using the template provided by the Quality Partner, is issued by the accredited SDP for qualifications. The SDP must produce a valid Statement of Results for each learner, indicating the result and the date on which the competence in each module, of each component, was achieved. Learners are required to produce this SoR, together with their ID document or alternative ID document, at the point of the EISA.

External Integrated Summative Assessment (EISA)

The Quality Partner is responsible for the management, conduct and implementation of the External Integrated Summative Assessment (EISA), in accordance with QCTO set standards. Competence in the EISA is a requirement for certificating a learner.