/biz/ - Business & Finance

Didn't see anything looking like DD here, so let me give you some ...

Mortgage rates are tied to the prime rate, which we all know went to nothing when the fed cut it. Now tons of good folks want to re-fi, makes sense right?
Only thing is; $JPM, $BAC, and $WFC don't want to re-fi them out of existing mortgages and into lower rate loans, because the old loans print, and low APR fixed rates aren't worth the effort the write them. They just don't make any money.

So any excuse to duck these is good enough. They are too busy with small business stimulus loans, which is the best loan to write right now because guaranteed repayment from the FDIC. So you will see all the banks do this.

Pick an arbitrary criteria like credit score, or the color of the siding on the house to exclude people by. Who wants to be tying up manpower to do cheap re-fi loans with no profit margin when there is so much money to be made on other instruments right now.