By using our site, you acknowledge that you have read and understand our Cookie PolicyPrivacy Policyand our Terms of Service. I can’t figure out why banks would actively try to get their customers to refinance their mortgage at a lower interest rate. And to be absolutely clear, I am talking about a bank refinancing a loan at their own tl Wells Fargo refinancing a loan from Hpw Fargo. What are their incentives? But the difference isn’t much when you may have only had the previous loan for a few years. And what’s really confusing is that banks in the US right now are offering refinancing with no closing costs. I would love to take advantage of one of these no-cost closing refinances but I’m afraid that I must be missing something big if the banks are trying to save me money. The crazy thing is that I can refinance my 30 year of which I have 27 years to go into a 20 year at a lower interest rate and pay almost the same amount per month. What am I missing? How is this a good deal for Wells Fargo? In a lot of cases, the bank has already made their money.
