The materials available in this article are for informational purposes only and not for the purpose of providing legal advice. You should contact your own advisors with questions regarding the consumer loan origination system content herein. The opinions expressed in this article are the opinions of the individual authors and may not reflect the opinions of MeridianLink, Inc.
The top three technology challenges reported by banks and credit unions are:
- Lack of integration between systems
- Legacy systems
- Lack of workflow automation
And the impact is costly.
Bank leaders estimate they could save over $500,000 by streamlining their tech, while credit unions see potential savings closer to $1.3 million.
So, it’s no surprise that nearly one in five financial institutions are planning to replace their consumer loan origination system. But choosing a new system isn’t a decision to rush. You need to fully understand what you’re getting into before making the leap. That’s why the vendor demo is such a critical step in the process. It’s your chance to pressure-test the system, evaluate fit, and ask the tough questions. Every demo should be intentional, with your team focused on real-world use cases and clear goals.
At MeridianLink®, we’ve led countless consumer loan origination system demos over the past 25+ years. So, we know what makes them effective, and what causes them to fall flat. That’s why we’re here to help you take full control of your demo experience. With the right preparation, clear priorities, and an eye for red flags, your team will walk into every demo with confidence—and walk out ready to make a smart, informed LOS decision that supports long-term growth.
Structuring Your Consumer LOS Demo for Maximum Value
Too often, demos become passive viewing sessions. But your LOS demo should be structured, interactive, and laser-focused on your institution’s unique needs. By clarifying your objectives before the demo—and regrouping afterward—you empower your team to properly assess if the solution truly fits.
1. Set a clear focus before the demo begins
Start by aligning your team on what matters most. What key features or workflows are must-haves? Which integrations with your current tech stack are non-negotiable? Are there specific use cases the vendor should be prepared to demonstrate?
Getting these priorities in place ensures the demo is customized to your day-to-day reality—not just a canned tour. This step also helps your team assess how well the LOS fits your broader lending strategy and technology goals.
2. Watch the full lending journey in action
When it comes to evaluating a consumer loan origination system, it’s not enough to view isolated features or flashy highlights. Ask the vendor to walk you through the complete lending process—from initial application to final approval. This end-to-end perspective is where you’ll truly see how the system performs in a real-world setting.
To make the most of this, you can even come prepared with realistic scenarios based on your institution’s typical workflows. Pay attention to how the platform handles common exceptions or edge cases. Does it guide users through them efficiently, or does it add complexity? What protections are in place to mitigate fraudulent applications?
The experience inside your institution directly shapes the borrower’s journey. Consider whether your team can complete tasks with minimal training or if the process feels clunky and outdated. When the system is intuitive and easy for your staff to navigate, consumers benefit from faster, smoother service. Keep that in mind and watch for friction points, delays, or overly manual steps that could have a negative impact.
3. Evaluate decision support and reporting
A modern consumer loan origination system should do more than move applications from point A to point B. It should help your team make smarter, faster decisions. That means equipping staff with real-time, actionable insights they can access without waiting on IT to pull reports or decipher data.
During the demo, pay close attention to the system’s dashboards and reporting capabilities. Are they user-friendly and customizable? Can front-line employees and managers easily access the data they need to monitor performance, track trends, and identify issues before they escalate?
Also, take note of how the system supports different user roles. A strong LOS will offer role-based access that ensures the right people see the right information—supporting internal controls, streamlining workflows, and maintaining compliance along the way. If reporting feels buried, limited, or overly technical, that’s a red flag. The right LOS should empower your team with clarity, not complexity.
4. Identify alignment and gaps
After the demo, take time to step back and assess. Did the demo show what you needed to see? Were your must-have workflows clearly supported—or were there gaps?
This is your opportunity to validate the vendor’s promises and determine whether the LOS truly meets your business needs. If key features are missing or feel underdeveloped, note them now so you can address them in follow-up conversations—or keep evaluating other options.
Choose the Right LOS, the Right Way
Don’t let the demo be a one-sided presentation. Make it a working session—one that puts your institution’s needs front and center. The right consumer loan origination system can transform your lending operations—but only if you choose it with purpose.
For more step-by-step guidance, real-world questions to ask, and best practices from industry leaders, download our “Evaluating & Selecting a Consumer Loan Origination System” eBook.
