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Appreciate all of the interesting information even if some of it is conflicting.

Firstly, I do understand how banks make money through origination.

Secondly, this is, indeed, the "Three Step Refinancing System." The new interest rate is 3.625% versus the current 4.875%, resulting in a P&I decrease of $245.61. I understand the bank may get the $ at 3.5% and profit in that way.

The new loan would be 360 months (I mentioned 25 years only in context of about what is left on current which would actually be 26 years; LTV is 93%). While I see the benefit to WFB of the longer time, I'm not sure it matters since I won't be alive then and do not care at all about paying off the mortgage. There is insurance available to do that if I die before my spouse and she chooses that alternative. We also have perfect credit and guaranteed sufficient income through our lifetimes.

So, if I view this as simply as rent payment with certain tax advantages, what am I missing in terms of reducing outgo by $245.00 per month?
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