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 loan origination system, or LOS, selection content herein. The opinions expressed in this article are the opinions of the individual authors and may not reflect the opinions of MeridianLink, Inc.
So, you’ve determined that your current loan origination process could use an upgrade. Time to begin the search for a new, modern LOS!
… Now what?
With so many options on the market, determining where to start can be daunting. To help simplify your search as much as possible, we’ve developed a handy guide outlining the necessary steps to making an informed decision. Check it out below.
Get the Guide To Evaluating & Selecting a Consumer Loan Origination System.
No two systems are exactly alike. Here are a few key items to consider when beginning your search for an LOS, as well as items to consider further down the line.

1. Determine Key Stakeholders
A buying committee with representation across crucial teams is the first step toward internal buy-in and a thorough, balanced evaluation process. To avoid delays and conflicts, make sure this team involves people who can address all aspects of your institution’s needs. A few examples of roles you may want to have on this committee include loan operations managers, chief risk officers, and vendor managers.
2. Set Your Goals & Define Your Requirements
Have you selected specific use cases to reference as you look at your options? Whether you’re trying to create the most seamless digital lending experience possible, expand your loan portfolio, boost efficiencies, or all of the above, it’s good to know what’s currently missing and what can be improved so that you have a better idea of what you’re looking for. Also, be sure to take items like budget and timeline into consideration—thoroughness now helps reduce the likelihood of roadblocks later in the process.
3. Build Your Foundation
With goals, needs, and a buying committee defined, it’s time to outline clear, measurable criteria that align with your requirements. Establish your standards and ask questions like “Have the vendors worked with my current systems?” or “Can the LOS smoothly integrate with my core system?” to help you more easily assess and compare your options.
4. Consider Vendor Partnerships
Make sure you and your potential vendors are aligned from the start: Which vendors have partnership goals that will mesh well with your long-term objectives and adapt to your evolving needs? What are vendors’ customers saying in case studies, testimonials, and, of course, the hard data? Ask for as many details as you can—again, thoroughness now pays off later!
5. Prioritize Compliance & Security
A vendor’s approach to data security and regulatory compliance can be the difference between smooth operations and costly setbacks. Request due diligence to guarantee sensitive information is protected.
6. Request a Demo
Vendor software demos reveal its functionalities, user interface, and overall compatibility with your institution. Explore each feature and imagine how your new lending operation could work within each software you try. And keep in mind that multiple demos are not only common but even necessary to help you truly get a feel for each solution.
7. Plan for Implementation & Mitigating Change
Change can be hard, but it doesn’t have to be. Preserving productivity will be critical throughout the transition. The best way to minimize disruption during the shift is by establishing a clear project plan that outlines each phase of implementation with timelines, resource allocations, and protocols to maintain accountability and direction.
8. Post-Implementation Review
After go-live, your journey will look a bit different, but it certainly doesn’t end! Now, it’s up to you to keep monitoring success through your defined key performance indicators. Where are you now and where would you like to go? Revisit your original pain points and goals established long before you selected an LOS and see how those metrics look now. This gives you major insights into the new system’s effectiveness, impact, and evolution alongside your organization.
The Journey Has Just Begun

Get the full Evaluating & Selecting a Consumer Loan Origination System guide today and take the first step toward implementing your ideal LOS.