Friday Harbor, an AI-powered platform that helps loan officers build compliant loan files in real time, announced this week that its AI Originator Assistant can now assess loans against lender and investor overlays in addition to standard program guidelines.
The update aims to give lenders greater control over credit quality and secondary market performance by embedding these requirements directly into origination workflows.
Overlays, or extra rules layered on top of standard guidelines, help lenders manage risk and ensure loans meet investor expectations. Those selling into the secondary market can use overlays to meet multiple investor standards, while portfolio lenders can align the technology with in-house credit policies.
“Our new underwriting overlays feature gives lenders the ability to instantly encode their own judgment and policies into Friday Harbor,” said Theo Ellis, CEO and co-founder of Friday Harbor. “Whether the goal is to expand credit access, tighten controls or ensure loans are salable across multiple investors, overlays put that guidance directly in front of originators so every file starts out underwriting-ready.”
The feature supports both lender and investor overlays, providing real-time guidance to help originators produce underwriting-ready files. Friday Harbor said it also offers a “white-glove” service, configuring and maintaining overlays for clients at no extra cost.
“With overlays in Friday Harbor, every file our originators touch reflects the exact credit standards our secondary market partners expect,” said Robert Jewett, chief operating officer at NewFed Mortgage Corp. “That certainty improves our salability, reduces last-minute surprises and allows our team to focus more energy on serving borrowers instead of interpreting guidelines.”
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