Mortgage lender · Los Angeles, CA · LEI 5493007K6HGI9G0ECX16

Preferred Bank review: approval odds, rates and grade (2025)

Preferred Bank earns a C, in line with the typical performance of small mortgage lenders. It turned down 12.4% of the applications it decided on in 2025, which ranks in the 39th percentile for approval odds. Compared against 1,883 small mortgage lenders using 2025 HMDA filings.

242Applications2025
74.8%Originatedof applications
12.4%Decision denial ratenational 22.6%
Median ratenational 6.63%
$238MLoan volume3 states

Preferred Bank at a glance, 2025

Every figure is from the lender's own HMDA filing. "vs national" compares with all lenders combined.

10.7%Denial rate (all applications)-7.24 pts vs national
12.4%Denial rate (decided applications)-10.15 pts vs national
74.8%Origination rate+16.76 pts vs national
13.2%Withdrawn by applicant
0.4%Closed for incompleteness
Median interest rate
Median rate spread (pts over APOR)
$675,000Median loan amount
Median total loan costs
$346kMedian applicant income
Median loan-to-value
0High-cost (HOEPA) loans

How the C grade breaks down

Each component is a percentile rank among 1,883 small mortgage lenders. Higher is better. Components the lender does not report are left out and the weights redistributed.

Approval oddsdecision denial rate, weight 45%

39th12.4% denied

Processwithdrawn + incomplete share, weight 15%

41st13.6%

Trend, 2023–2025

YearApplicationsOriginatedDenial rateDecision denialMedian rateVolume
20232832333.5%4.1%$197M
20242211746.8%7.8%$164M
202524218110.7%12.4%$238M

What Preferred Bank lends

Applications by purpose and loan type in 2025, with the denial rate for each. A lender's mix explains a lot of its headline rate: HELOCs and FHA loans are denied far more often than conventional purchase loans.

By loan purpose

Home purchase 161 67% · 7.5% denied
Refinance 49 20% · 18.4% denied
Cash-out refinance 17 7% · 11.8% denied
Home improvement 6 2% · 16.7% denied
Other / HELOC 9 4% · 22.2% denied

By loan type

Conventional 242 100% · 10.7% denied

Also: 0 home-equity lines, 0 reverse mortgages, 0 manufactured homes, 69 investment properties.

Who gets approved at Preferred Bank

Decision denial rate by applicant profile. Groups with fewer than 20 applications are omitted.

Applicant incomeApplicationsOriginatedDecision denial rate
$150k – $250k24199.5%
Over $250k976913.8%
Applicant ageApplicationsOriginatedDecision denial rate
25–3435323.0%
35–4479637.4%
45–54644121.2%
55–64251630.4%

Where Preferred Bank lends

3 states and 26 counties in 2025. Click a state for the lender's full record there.

StateApplicationsOriginatedDenial rateMedian rateRank in state
California21415412.2%#356
Texas21210.0%#858
New York760.0%#495

Frequently asked questions

Preferred Bank denied 12.4% of the applications it decided on in 2025. The national figure across all lenders was 22.6%. On approval odds it ranks in the 39th percentile of small mortgage lenders.

In 2025, 67% of its applications were for home purchases, 27% for refinancing (including cash-out), and 6% for home improvement or other purposes. By loan type: 100% conventional, 0% FHA, 0% VA.

Every figure on this page comes from the Home Mortgage Disclosure Act (HMDA) Loan/Application Register published by the CFPB, which lenders are required by federal law to file. We add the grade and the comparisons; we do not add facts.

About this data. HMDA data is published once a year by the CFPB. The current release covers applications acted on in calendar year 2025. Figures describe applications the lender acted on, including loans it later sold. Interest rates and costs are medians on originated loans only; some depository institutions are exempt from reporting pricing fields, which is why a few cells read "—". MortgageGrades is not affiliated with Preferred Bank. Data sources · Methodology