Time to Retire the Franken-Stack

Patrick O’Brien is CEO of Buffalo, N.Y.-based LenderLogix, a provider of mortgage point-of-sale and automation software for banks, credit unions, independent mortgage banks and brokers

Most mortgage lenders didn’t build their tech stacks with a blueprint. They built them with Band-Aids. Over time, they added a tool here to solve a problem there. Maybe a point-of-sale system for intake, a borrower portal for docs and a CRM for follow-up–all functional, all well intentioned. But when you stack too many parts that don’t fit together, you get what looks and feels like a science experiment.

That’s the Franken-stack. And it is quietly draining time, patience and profit from lending operations in ways that are hard to ignore.

These systems often came into the fold one at a time, chosen to solve specific pain points without enough consideration for the broader ecosystem. In many cases, the teams selecting and implementing these tools didn’t fully evaluate how each new solution would interact with what was already in place. As a result, lenders now find themselves layering on platforms that don’t integrate cleanly, creating inefficiencies that ripple across workflows, data and the borrower experience.

Borrowers feel the friction. They notice when they’re asked to submit the same document twice. They sense the lag when communication is inconsistent. They lose confidence when tech tools don’t feel cohesive. And in a lending environment where the borrower’s experience often determines whether a deal moves forward, disjointed workflows are no small problem.

It’s not just about speed. It’s about clarity. Today’s consumer expects an intuitive experience. If the mortgage process is the only area of their financial life that still feels complicated or fragmented, that reflects poorly on the lender. No one wants to work with a lender who seems stuck in another era.

These technology issues also create internal strain, with loan officers, processors and support staff spending too much time navigating between systems instead of focusing on the borrower. This cuts into productivity, increases frustration and makes it harder to scale efficiently. When volumes rise, productivity hits a ceiling not because staff lacks the skill, but because the systems in place are slowing them down.

Then there’s the data problem. Information stored across five or six platforms is hard to reconcile. Pulling accurate reports becomes a chore. Business intelligence initiatives stall out. And when lenders can’t get clean data from their systems, they can’t make confident decisions about performance, marketing or operations.

What’s missing from many lending shops is a cohesive technology strategy. Instead of thinking about how one solution solves one problem, it’s time to think in terms of ecosystems. How do these tools interact? Do they support the same process, or are they fighting for relevance? Are you building around your LOS, your POS or something else entirely? These are the questions that lead to clarity.

The goal is not to rip out everything and start over. That’s rarely practical. The better path is to audit what you have. Identify which tools bring the most value, which ones overlap and where your biggest friction points live. From there, make targeted decisions about what stays, what goes and what gets upgraded or integrated more thoughtfully.

Start with the borrower’s experience and work backward. If a feature exists to make the lender’s life easier but adds steps for the borrower, it’s probably not serving its purpose. Technology should reduce friction on both sides. That means automation where it counts, transparency for the borrower and consistency across platforms.

A cohesive tech stack also supports internal staff. When systems communicate effectively, teams are free to focus on guidance and problem-solving rather than data entry or troubleshooting. They can spend more time advising borrowers, moving files forward and closing loans with confidence. That’s what creates long-term value.

In many cases, less is more. Trimming down a tech stack to include tools that actually work well together can have a bigger impact than adding another platform that introduces more complexity. Focus on interoperability. Seek out vendors who embrace open APIs, shared standards and proven integrations.

Also consider the cost of doing nothing. Every time employees hit a system limitation, invent a workaround or field a borrower complaint, it incurs a cost. That cost doesn’t always show up on a P&L, but it compounds over time. The opportunity cost of not improving systems may be higher than the line-item cost of the software itself.

The Franken-stack didn’t emerge overnight. It was built one decision at a time, often with good intentions. But good intentions don’t scale. Lenders looking to grow, improve margins and retain top talent need better foundations. They need tech stacks that work with them, not against them.

Start by asking better questions about the systems being used every day. Find the gaps. Simplify where possible. Invest in alignment before additional features. When systems feel like they were designed to work together, staff can operate with more speed, clarity and confidence. And when technology starts feeling less like a patchwork and more like a platform, borrowers will notice the difference.

(Views expressed in this article do not necessarily reflect policies of the Mortgage Bankers Association, nor do they connote an MBA endorsement of a specific company, product or service. MBA NewsLink welcomes submissions from member firms. Inquiries can be sent to Editor Michael Tucker or Editorial Manager Anneliese Mahoney.)