[worewood]

> wouldn't it be similar to the credit scores we all have

Wow, have never thought about this. Yes, yes they are similar... That's why I get basically the same interest rates across all financial institutions. There's no competition, basically they're communicating to "price fix" a rate.

Though I doubt America would raid the holy grail of capitalism, financial institutions

[gfourfour]

That’s not why.

Credit scores don’t discourage competition. Competition can still exist within brackets.

The reason rates don’t differ much is because most of the rate is determined by factors outside of the lenders control. There’s a pretty small margin for them to compete on price with each other with. That’s why rates on stuff like mortgages are basically commoditized.