To get your hands on this free video tutorial: "Mortgage Refinancing - What You Need to Know," which teaches strategies to find the best mortgage and save thousands of dollars in the process, visit Refiadvisor.com. How does the bank accomplish this? They do it by charging you Service Release Premium. There many people, some are housewives and once-a-week agents who have earned a lot from making the buying and selling of foreclosed properties a hobby. The secondary market is where investors buy and sell mortgage debt for a profit. Because your bank is exempt from the Real Estate Settlement Procedures Act they will never disclose or admit to this markup. You can learn more about your mortgage options, including costly mistakes to avoid by registering for a free mortgage refinancing video tutorial. When you apply for a loan form the bank, you are required to put up a pledge for security for the loan. 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. It may be true that mortgage brokers are known for overcharging for their services; however, banks are much worse due to loopholes in the legislation that protects homeowners from abusive mortgage lenders. If you are in the process of refinancing your mortgage loan you might be considering a bank loan to get the job done. The lobby spent millions of dollars romancing Congress to give banks an unfair advantage over their customers. Most bank employees have never heard of Service Release Premium and have very little knowledge about the mortgage industry as a whole. In addition to having fewer choices, your bank is much less likely to negotiate over interest rates and fees. The Real Estate Settlement Procedures Act exists to protect homeowners from abusive lending practices by requiring lenders to disclose their fees and markup. It may be true that mortgage brokers are known for overcharging for their services; however, banks are much worse due to loopholes in the legislation that protects homeowners from abusive mortgage lenders. To get your hands on this free video tutorial: "Mortgage Refinance - What You Need to Know," which teaches strategies for finding the best mortgage and saving thousands of dollars in the process, visit Refiadvisor.com. Here are several reasons you should avoid Banks altogether when mortgage refinancing. The markup from 6.0% - 6.5% is Service Release Premium. To get your free mortgage guidebook visit RefiAdvisor.com using the link below. There many people, some are housewives and once-a-week agents who have earned a lot from making the buying and selling of foreclosed properties a hobby. Another problem with banks is that your banker will be much less likely to negotiate for terms and interest rates because of the loophole. It will be assigned a value and will be listed in a publicly-available foreclosures list. The first thing you need to know about banks and mortgage loans is that your bank is in the mortgage business to make money. • Limited Number of Loan Products to Choose From • No Room for Negotiation on Your Interest Rate • Interest Rates Are Always Higher • Banks Are Not Willing to Negotiate Lender Fees and Closing Costs • Banks are Exempt from Disclosure Rules Provided by the RESPA Act. Thanks to the Banking Lobby the law was changed to exclude banks from this requirement. Banks do this because they will receive an additional two points, or 2% of the loan balance, when the mortgage is sold on the secondary market. Your banker will show you their rate sheets and which loans are available, and your choice is pretty much take it or leave it.