First RMA-Credit Risk Certified Designations to Be Awarded this Spring.
IBM Worked Closely with RMA to Develop the Exam.
PHILADELPHIA, PA (March 21, 2005)—The Risk Management Association (RMA) announced today that it has developed an industry-wide certification for credit risk. Three years in development with IBM, the RMA Credit Risk Certified designation (RMA-CRC) is for credit risk professionals with at least three years of experience who pass a five-hour, 126-question computer-based exam. The Canadian exam has 130 questions. It is open both to members and nonmembers of RMA.
RMA worked with a committee of industry experts from a wide cross-section of banks—large and small, U.S. and Canadian, rural and urban—to develop the certification. It is the only industry-wide certification available to credit risk professionals, including lenders, credit analysts, credit officers and credit risk managers.
RMA Director of Credit Risk Jim Nelson said experienced and knowledgeable credit professionals need a way to validate their skills. “Our members told us RMA should be the organization to build this credential because of our longstanding commitment to help institutions measure and manage credit risk. With this professional designation, RMA will set the industry standard for excellence among credit risk professionals.”
Nelson said the RMA-CRC designation is a strong indication to bank management that a credit risk professional is a well-qualified individual. “The designation will distinguish credit professionals with the bank’s customers, as well as with their banks’ management and potential employers.” He added that those taking the exam have experience that ranges from three years to more than 20 years.
RMA President and CEO Maurice H. Hartigan II said his 91-year-old organization was founded to help financial institutions better understand their credit risk so it is appropriate that RMA be the organization to develop this certification. “RMA’s focus on credit risk remains strong, even though we now help our members measure all their risks across the enterprise,” said Hartigan. “We want our members to have a tangible recognition of their credit risk expertise. We believe our certification will become a ‘must-have’ designation for anyone who is serious about his or her career.”
To ensure top quality for the exam, RMA selected IBM to participate in the development of the RMA-CRC. IBM's highly skilled and experienced psychometricians worked closely with the RMA-CRC Steering Committee, applying a rigorous process to review the questions and validate the exam.
To prepare for the exam, credit professionals study the RMA body of knowledge, credit glossary, and ratios provided by RMA. They also take a practice exam and study to fill in any knowledge gaps.
More than 200 lenders and credit professionals participated in a successful pilot certification exam last fall. RMA now offers the exam twice a year, once in the spring and once in the fall. Examinations are scheduled for this March and April at secure testing centers located across the U.S. and Canada.
To maintain the designation, credit professionals will need to demonstrate that they are staying current in their field by completing 60 continuing education credits every three years.
For more information about the RMA—CRC designation, visit RMA or call Customer Care at 800-677-7621.
About RMA
Founded in 1914, the Risk Management Association is a nonprofit, member-driven professional association whose sole purpose is to advance the use of sound risk principles in the financial services industry. RMA promotes an enterprise-wide approach to risk management that focuses on credit risk, market risk, and operational risk.
Headquartered in Philadelphia, Pennsylvania, RMA has 3,000 institutional members that include banks of all sizes as well as non-bank financial institutions. They are represented in the Association by 16,000 risk management professionals in North America and numerous cities overseas, including Hong Kong, Singapore, Melbourne, Sydney, and London. Members meet regularly through RMA's strong chapter network.