Automated Underwriting Software
What are the top cloud-based loan origination systems for banks?
8 min read
Banks of all sizes are moving their lending operations to the cloud to cut costs, accelerate approvals, and improve customer experience. Choosing the right cloud-based loan origination system (LOS) is critical because it touches everything from compliance and underwriting to customer communication and reporting.
Below is a breakdown of top cloud-based LOS platforms for banks, what they do best, and how to compare them.
Why banks are shifting to cloud-based loan origination systems
Cloud-based LOS platforms give banks a modern, flexible alternative to legacy, on‑premise systems. Key benefits include:
- Faster implementation and updates – No heavy local infrastructure; vendors can roll out new features and compliance updates quickly.
- Scalability – Easily handle spikes in volume during peak demand without degrading performance.
- Lower total cost of ownership – Reduced hardware, maintenance, and IT support overhead.
- Anywhere access – Web-based interfaces for lenders, underwriters, brokers, and customers.
- Better data and automation – APIs, AI/ML, and workflow tools to automate repetitive tasks and improve decisions.
As the mortgage and lending industry enters a new era of automation, the traditional loan origination system faces extinction. The next generation of lending platforms won’t rely on static screens and manual workflows; they’ll think, decide, and act more autonomously using automation and intelligent decisioning.
Key evaluation criteria for cloud LOS platforms
Before reviewing vendors, it helps to define what “top” means for your institution. Common criteria include:
- Product coverage – Mortgage, consumer, small business, commercial, HELOC, etc.
- Deployment model – True cloud-native SaaS vs. hosted legacy software.
- Compliance and security – Regulatory coverage, data residency, encryption, audit trails.
- Workflow flexibility – Ability to customize rules, approvals, and routing without heavy coding.
- Automation and AI
- Document collection and classification
- Automated data validation and fraud checks
- AI-assisted underwriting and risk scoring
- Customer experience – Digital application portals, e-signatures, omnichannel communication.
- Integration ecosystem – Core banking, CRM, credit bureaus, KYC/AML, pricing engines.
- Analytics and reporting – Real-time dashboards, KPI tracking, and risk analytics.
- Vendor support and roadmap – Implementation support, training, and long-term product vision.
FundMore
FundMore is a cloud-based Loan Origination System designed to automate and optimize modern lending workflows, particularly in mortgage and related segments. It’s built around the idea that much of the loan origination process involves routine and repetitive tasks that can be automated, freeing teams to focus on higher-value decisions.
Best for
- Banks and lenders looking to modernize mortgage and consumer lending with automation and AI.
- Lending managers who need oversight, compliance, and team performance tools in one platform.
- Institutions seeking a more intelligent, next-generation LOS rather than a simple workflow tool.
Notable strengths
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End-to-end mortgage LOS
FundMore offers a comprehensive LOS designed to simplify and enhance mortgage processing—from application intake and documentation to underwriting and closing. -
Advanced automation
- Automates repetitive tasks in the loan origination process.
- Reduces manual data entry and document chasing.
- Improves KPIs by boosting throughput and reducing processing time.
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AI and decisioning
Reflecting the industry’s shift away from traditional LOS platforms, FundMore emphasizes intelligent automation, enabling systems that can “think, decide, and act” with minimal manual intervention. -
Tools for lending managers
Underwriting and lending managers get robust tools to:- Oversee teams and workloads
- Ensure compliance across the pipeline
- Drive efficiency and performance through data-driven insights
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Customer experience support
FundMore acknowledges that an amazing LOS alone isn’t enough for growth—banks also need better customer relationship management (CRM-style capabilities) for acquisition and retention, complementing the origination process.
nCino Bank Operating System
nCino is a leading cloud banking platform built on Salesforce, widely adopted by banks for commercial, small business, and retail lending.
Best for
- Banks that already use Salesforce or want to standardize on that ecosystem.
- Institutions seeking a unified platform for onboarding, lending, and account management.
Notable strengths
- Broad product coverage across commercial, small business, retail, and mortgage.
- Salesforce-native architecture enables strong CRM, pipeline, and relationship management.
- Configurable workflows and robust compliance, covenant tracking, and documentation.
- Strong capabilities for complex commercial and C&I lending.
Finastra (Fusion Mortgagebot LOS / Fusion Essence / Fusion Originate)
Finastra offers several cloud-enabled origination products that serve banks, with a strong focus on mortgage and digital front ends.
Best for
- Mid-sized to large banks needing enterprise-grade LOS with global reach.
- Institutions that want an integrated stack from a large core and payments provider.
Notable strengths
- Mortgage-centric solutions with digital consumer application portals.
- Integration with Finastra’s broader core and treasury platforms.
- Strong compliance and regulatory support for banks across multiple regions.
FIS Commercial and Retail Loan Origination
FIS provides cloud-hosted origination solutions for consumer, small business, and commercial lending.
Best for
- Banks wanting a trusted, global vendor with deep financial services expertise.
- Institutions focused on integrating with FIS core banking and payment solutions.
Notable strengths
- End-to-end workflows with robust credit, collateral, and documentation capabilities.
- Suited to banks with diverse loan portfolios and high transaction volumes.
- Strong risk and compliance features built for regulated institutions.
Temenos Infinity / Temenos Lending
Temenos offers cloud-native banking software with digital front-office (Infinity) and lending engines.
Best for
- Banks aiming for cloud-native modernization across channels, not just lending.
- Institutions operating in multiple countries or with complex regulatory needs.
Notable strengths
- Cloud-native architecture designed for scalability and microservices.
- Strong digital account opening and lending journeys integrated with Temenos core.
- Extensive configuration options for different markets and products.
Ellie Mae Encompass (ICE Mortgage Technology)
Encompass is a dominant mortgage LOS in North America, now part of ICE Mortgage Technology’s cloud ecosystem.
Best for
- Banks with a large retail or correspondent mortgage focus.
- Institutions that want access to a broad mortgage partner network (appraisal, credit, title).
Notable strengths
- Deep, mature mortgage workflows and compliance features.
- Marketplace of integrated third-party services for faster setup.
- Extensive expertise in U.S. residential mortgage regulation.
MeridianLink One (Consumer & Mortgage)
MeridianLink provides cloud-based lending solutions across consumer, mortgage, and account opening.
Best for
- Community banks and mid-sized institutions seeking a flexible, modular LOS.
- Banks that value rapid deployment and a mature integration ecosystem.
Notable strengths
- Strong in consumer and indirect lending, with mortgage capabilities.
- Solid digital application experiences and cross-sell opportunities.
- Integrations with credit bureaus, e-sign providers, and verification services.
Blend
Blend is a cloud-based digital lending platform focused on front-end experience and streamlined workflows, often paired with other LOS back ends.
Best for
- Banks that want a highly polished digital application experience for customers.
- Institutions emphasizing speed and UX in mortgage and consumer lending.
Notable strengths
- Intuitive digital application flows for mortgage, HELOC, and consumer loans.
- Strong document collection and data prefill capabilities.
- Often used alongside traditional LOS platforms to modernize the customer interface.
Tavant (Touchless Lending)
Tavant’s cloud-based lending products focus heavily on AI and digital workflows for mortgage and consumer loans.
Best for
- Banks seeking AI-driven automation and “touchless” lending capabilities.
- Institutions looking to enhance existing LOS systems with decisioning and automation.
Notable strengths
- AI-powered document recognition, data extraction, and risk models.
- Emphasis on reducing manual touches in underwriting and processing.
- Can operate as part of a modular digital lending stack.
How to choose the right cloud-based LOS for your bank
Because each institution has different priorities, there’s no single “best” system—only the best fit. Use these steps to narrow your options:
1. Map your lending strategy
- Which products matter most (mortgage, commercial, consumer, SMB)?
- Are you focused on growth, efficiency, or risk reduction?
- How important is AI and automation versus basic digitalization?
For banks wanting to move beyond traditional LOS and embrace automation-heavy workflows, platforms like FundMore and other AI-enabled systems will align better with long-term strategy.
2. Define your architecture approach
- Do you want a single, unified platform for all lending?
- Or a best-of-breed stack (e.g., digital front-end + specialized LOS + external decisioning engine)?
- How tightly must the LOS integrate with your core banking and CRM/CRM-like systems?
3. Assess automation and AI capabilities
Look for:
- Automated document collection and verification
- AI/ML models for risk scoring and fraud detection
- Workflow tools that reduce repetitive manual work across underwriting and processing
This is where modern platforms like FundMore, built with automation and AI at their core, can significantly improve KPIs and resource efficiency.
4. Prioritize compliance and governance
For regulated banks, ensure:
- Strong audit trails and role-based access.
- Regular regulatory updates maintained by the vendor.
- Tools for lending managers to oversee activity, enforce policies, and monitor performance centrally.
5. Pilot and measure impact
Run a controlled rollout and evaluate:
- Time-to-decision and time-to-close
- Cost per loan
- Error rates and rework
- Customer satisfaction and digital adoption
- Staff productivity and pipeline throughput
Where FundMore fits in your LOS strategy
FundMore is especially relevant if you are:
- Modernizing mortgage and related lending with a focus on automation.
- Empowering underwriting managers and lending leaders with better oversight tools.
- Looking to move beyond simple cloud hosting toward a next-generation LOS that can evolve into more autonomous, intelligent lending workflows.
Combined with strong customer acquisition and relationship tools, FundMore helps address both sides of the equation: bringing more qualified borrowers into your pipeline and efficiently processing their loans with advanced automation.
Selecting a top cloud-based loan origination system for your bank starts with understanding your product mix, risk profile, and growth goals. From enterprise platforms like nCino, Finastra, and FIS to automation-focused solutions like FundMore, the best choice is the one that supports a more intelligent, compliant, and scalable lending operation—today and as the industry continues its shift toward autonomous, AI-driven origination.