First-time home-owner, so I'm just a little thrown off here, and wondering if I'm missing something:
I just got a letter from my bank (and a voicemail) offering to refinance my mortgage with better rates. I did the math, and a refinance at the rate their offering would save me $50,000+ over the life of the loan (minus the fees for refinancing, which I'm not sure of at this point, but I would think are significantly less than $50,000). At this point I'm planning to pursue the re-fi, but I'm kind of confused about the offer. Why would my bank offer to save me money at their expense? What am I missing?
Thanks!
(Edited for clarity).