Wells Fargo & Co has eliminated hundreds of positions nationwide in its mortgage division. The housing sector has begun to feel the effects of higher inflation and swiftly rising mortgage rates as purchasing homes become more expensive, hurting what was an industry that was growing up until last year.
The vigorous monetary policy tightening effort of the US Federal Reserve has put pressure on refinancing as well. Wells Fargo has already cut hundreds of jobs in its mortgage division this year.
The most recent layoffs are in addition to those. The largest bank in the United States by assets, JPMorgan Chase & Co., began terminating workers in its mortgage division in June.