Credit Scores and Mortgage Rates

[NJ987654]

I have to agree with Shane. I'd add, why isn't every car priced the same or every product the same price in every store. Most lenders are reputable. Some brokers are not. Best bet is to always, always get a second opinion so you can compare

[evilnewbie]

Originally Posted by ShanetheMortgageMan

You get different quotes from different dentists due to their costs & their experience, you get different quotes from different general contractors due to their costs and their craftsmanship, and you get quoted different interest rates by different banks because of their unique costs, their ability to secure investors to sell their loans to, what type & level of service they will offer you, amongst other factors. That is why people "shop around", so you definitely DO have the ability to find out if you are getting screwed or not, and it's by being a dilligent consumer.

Sure there are different costs and everything but FEES and INTEREST RATES are two completely different animals altogether... To infer that interest rates is dependent on costs and such is crap since your credit score and payment history will give you, your interest rate... I can expect different closing costs between lenders but their interest rates should not vary THAT much... Everyone IS a diligent consumer, and the lender is using their lack of expertise in the lending market to take advantage of them and there is just about NOTHING the consumer can do to find that out... Sure you can shop around and EVERYONE does, but 99% of the lenders out there are there to ********* over... not much good when just about everyone out there is out to ********* over...

Just because banks don't have a chart, website, etc. that posts the rates for every single specific situation that one can encounter when doing a mortgage transaction (which is over hundreds) doesn't mean that they can't disclose to you what the interest rate & terms are for a specific scenario.

Everyone's scenario may vary but for most people it isn't about their scenario, its more about how much they can rip you off. When consumers ASK the lender what is the BEST POSSIBLE RATE and the lender doesn't tell you the best rate... THAT is a problem..

[ShanetheMortgageMan]

Sure there are different costs and everything but FEES and INTEREST RATES are two completely different animals altogether ... To infer that interest rates is dependent on costs and such is crap since your credit score and payment history will give you, your interest rate... I can expect different closing costs between lenders but their interest rates should not vary THAT much

Not exactly. I am looking at two different lenders rate sheets right now, and for the same exact situation, their rates vary by almost 1/2%. So I don't agree that rates don't vary that much lender to lender, they can, and do. I'm not privvy to what their own costs are, so I can't tell you that it's a direct correlation, one could just be more greedy than the other, who knows, but I can tell you that there can be a very wide discrepancy in rates from lender to lender. For the most part there isnt, because of something called being competitive, but there is the occasional lender that will stray far from what is considered normal interest rates and be a bad deal for someone who doesn't know any better.

Everyone IS a diligent consumer, and the lender is using their lack of expertise in the lending market to take advantage of them and there is just about NOTHING the consumer can do to find that out... Sure you can shop around and EVERYONE does, but 99% of the lenders out there are there to ********* over... not much good when just about everyone out there is out to ********* over...

Sounds like you still have a chip on your shoulder from a bad past experience. Were you treated unfairly, rudely, or in a condescending nature by a lender or loan officer at one point?

Everyone's scenario may vary but for most people it isn't about their scenario, its more about how much they can rip you off. When consumers ASK the lender what is the BEST POSSIBLE RATE and the lender doesn't tell you the best rate... THAT is a problem..

How do you know that wasn't the lenders best rate? Perhaps they are just some greedy bastards you shouldn't be doing business with? Perhaps their rates just flat out suck? You can't say "You are giving me a higher interest rate than you are able to give me" since that is a subjective matter unless you also know what they offered someone else in your same identical situation on that same exact day. You can say "You are giving me a higher interest rate than I've been offered elsewhere" and it be absolutely true though.