Limp Home-Loan Market Forces Large Banks to Ease Underwriting
August 28, 2006
Competition among the nation’s largest banks for residential home loans stiffened as 17.1 percent acknowledged in a federal survey that they’ve pulled back somewhat on their credit underwriting over the past three months to get new business. But more significant is that 83.3 percent of the 54 banks that were represented in the Federal Reserve Board’s July 2006 survey of loan officers on bank lending practices made no changes to their credit standards...