Wells Fargo pulls back from mortgage market it once dominated

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Wells Fargo pulls back from mortgage market it once dominated
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The US housing market is in the midst of a correction that has sapped mortgage demand.

over the last year as long-term rates surged in response to the Federal Reserve’s slate of supercharged rate hikes. The average 30-year fixed-rate mortgage was 6.48% as of last week, nearly twice as high as it was during the same week one year earlier.

As part of its reshuffling, Wells Fargo announced that it would invest $100 million “to advance racial equity in home ownership, including strategic partnerships with non-profit organizations and community-focused engagements.”agreed to pay a record $3.7 billion The institution was accused of various violations across its mortgage, auto loans and banking divisions – including a charge that it improperly rejected thousands of customer applications to modify mortgages. In some cases, the rejections caused the customers to lose their homes to foreclosure.

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