Banks know that loans with above market interest rates bring them a premium profit at the homeowner’s expense. Because your Bank is exempt from the Real Estate Settlement Procedures Act that requires mortgage lenders to disclose this markup, the only ones that know how much they are overcharging you is the Bank. Louie Latour specializes in showing homeowners how to avoid common mortgage mistakes and predatory lenders. If you speak to a bank employee about mortgage rates the employees will all swear the interest rates are not marked up and will even show you the rate sheets. If you’ve been researching mortgage loans online you may have heard of Yield Spread Premium. Simply compare bank rates to those offered by a wholesale mortgage broker and you will quickly understand why bank originated mortgage loans are a bad idea. Fortunately for you, there is a way to spot it. You can learn more about your mortgage options, including costly mistakes to avoid by registering for a free mortgage refinancing video tutorial. RESPA laws in the United States protect you by requiring mortgage lenders to disclose their profit margin and markup on your loan. The only way to spot this markup that your bank includes in their rate sheets is to find out what the going wholesale mortgage rates are. Louie Latour specializes in showing homeowners how to avoid costly mortgage mistakes and predatory lenders. Your banker will show you their rate sheets and which loans are available, and your choice is pretty much take it or leave it. Banks make the majority of their profits selling mortgage loans to investors on the secondary market; mortgages with above market interest rates give them a premium profit. Foreclosures provides detailed information on Foreclosures, Bank Foreclosures, Foreclosure Listings, Foreclosure Homes and more. The Real Estate Settlement Procedures Act or RESPA for short protects homeowners from predatory lending practices by requiring mortgage lenders to disclose their fees and broker markup of your mortgage interest rate. These rate sheets have Service Release Premium already built in; however, you can get an idea of what the going wholesale rate is by checking the weekly yield on Fannie Mae’s website. Your banker will show you their rate sheets and which loans are available, and your choice is pretty much take it or leave it. The markup from 6.0% - 6.5% is Service Release Premium. Here are several reasons why you should never take out a mortgage loan from your bank. If you are not familiar with RESPA, it is the Real Estate Settlement Procedures Act that protects borrowers in the United Sates by setting guidelines for disclosure. The bank knows the wholesale mortgage rate you would have qualified for in a competitive market; however, banks build Service Release Premium into their rate sheets. When a bank seizes a property, it sends out a notice to the owner. Your bank knows what mortgage rates their competitors in the wholesale market are closing loans at; however, they are counting on the fact that most homeowners don't understand mortgage rates to overcharge their customers. Because your bank is exempt from the Real Estate Settlement Procedures Act they will never disclose or admit to this markup. When the mortgage rate is marked up by a bank the markup is called Service Release Premium. You have good credit and meet every requirement to qualify for a 6.00% interest rate on the wholesale market. To get your hands on this "Mortgage Refinancing Toolkit," which teaches strategies for finding the best mortgage and saving thousands of dollars in the process, visit Refiadvisor.com. Do you really trust your banker not to take advantage of you?.