Banks & Credit Unions Are Ready for a Change
The information in this article is intended for general informational purposes only and does not constitute legal advice. If you have questions related to the topic of consumer loan origination systems, we recommend consulting your own legal or financial advisors. The opinions expressed in this article are the opinions of the individual authors and may not reflect the opinions of MeridianLink, Inc.
According to Cornerstone Advisors’ 2025 industry report, both banks and credit unions are placing a much greater emphasis on selecting new consumer loan origination systems (LOS) this year compared to last. Even more telling? A majority of these institutions plan to increase their technology spend by 1% to 10%. A clear sign the industry isn’t just talking about change, it’s actively investing in it.
Committing to upgrade is one thing—navigating the vendor landscape is another. And that’s where many financial institutions get stuck. Finding the right technology is a process, but it doesn’t have to be a complicated one.
If you’re not sure where to start or what to prioritize check out these helpful tips from our eBook.
Here’s a sneak peek at just a few of the strategies and key questions waiting inside…
Ask Yourself: Are You & the Vendor Aligned?
When choosing a consumer LOS vendor, alignment goes beyond technical features. It’s about finding a partner who shares your institution’s values and goals. The right vendor feels like an extension of your team, with a business philosophy, customer service approach, and growth strategy that resonates with your core principles. The stronger the alignment, the more impactful and lasting the partnership.
Transparency, collaboration, and clear product direction are essential to building that connection. You should feel confident that the vendor is open about their product roadmap and transparent about future plans. Equally important is how they incorporate customer feedback. A vendor who listens, adapts, and works collaboratively with you fosters trust and positions your institution for long-term success.
Finally, consider their market position. How do they differentiate themselves from competitors? And do they have a proven track record with institutions that share your size, goals, or challenges? A vendor with a strong, positive reputation is indicative of their ability to deliver on promises and offer high-quality service.
Now Discover What You Can Accomplish Together
Once you’ve confirmed that a vendor aligns with your institution’s values, it’s time to shift the focus to impact. What measurable results can they actually deliver, and how?
Look past the promises and into the proof. Are they offering cost savings, operational efficiency, risk reduction, or better consumer experiences? More importantly, do they have the data to back it up? Examine real-world results from existing customers to see how their claims hold up.
Then, explore how the solution works in practice. What’s included out of the box? Which pre-integrated tools are available? Are there features designed to cut down on manual tasks and help your team focus on high-value work?
And don’t overlook their roadmap. Is it updated regularly? Will you have visibility into future enhancements? Ongoing transparency ensures your investment will continue to evolve alongside your goals and the broader market landscape.
Don’t Compromise on Security or Compliance
A vendor’s approach to data security and compliance can make or break your institution’s operations. Protect your organization from costly setbacks by doing your due diligence early. The right compliance and risk management support can prevent fines, legal trouble, and reputational fallout.
You’ll want to ask direct questions: How do they encrypt data in transit and at rest? How often do they conduct security audits? What’s their incident response plan? A true partner doesn’t just meet compliance requirements—they take a proactive role in keeping your institution secure.
Let the Search Begin!
Looking for clear insights and practical guidance to find your ideal consumer loan origination system? Start here. Our complete LOS selection guide has the blueprint you need to make a confident decision.
Begin your journey toward origination excellence in 2025 and beyond.
