Banks used to say, "We insist, take more money" .. why?

[Deleted member 4644]

I have heard from two different people, two surprisingly similar stories.

One of the secretaries at my work wanted a $20,000 to upgrade her house/kitchen etc. She asked the bank for a $20,000 loan. They offered her $30,000 to $40,000 and kept insisting until she refused multiple times.

A few weeks before I heard this, I was talking to a real estate developer who said he wanted $10,000,000 to improve a property. He was told by the bank (Citi) that he should take $20,000,000. He refused, but they kept dogging him for weeks.

Both of these incidents occurred about two years ago.

WTF???! Is wrong with these banks? Was it just because they could get more fees/interest if they gave more money?

 

[Jmman]

Originally posted by: Deleted member 4644
I have heard from two different people, two surprisingly similar stories.

One of the secretaries at my work wanted a $20,000 to upgrade her house/kitchen etc. She asked the bank for a $20,000 loan. They offered her $30,000 to $40,000 and kept insisting until she refused multiple times.

A few weeks before I heard this, I was talking to a real estate developer who said he wanted $10,000,000 to improve a property. He was told by the bank (Citi) that he should take $20,000,000. He refused, but they kept dogging him for weeks.

Both of these incidents occurred about two years ago.

WTF???! Is wrong with these banks? Was it just because they could get more fees/interest if they gave more money?

Why does McDonalds also suggest a "Super Sized" meal instead of a regular meal. The same reason banks try to lend you extra money......

 

[StageLeft]

Ask yourself: How have banks historically made money. When you know the answer to that, that's the answer to your question.

 

[Slew Foot]

Do you blame McD for offering the super size option, or the lardo for accepting it and eating it?