Wall Street has turned thumbs down on a bid by mortgage bankers to give favorable TBA treatment to agency securities that include reduced servicing spreads for issuers. In a 7-1 vote, the Bond Market Association’s MBS and Securitized Products Division decided not to allow reduced servicing fee pools to be eligible for to-be-announced settlement. The decision could potentially weaken the case for lowering the minimum fees Fannie Mae and Freddie Mac charge for servicing mortgages