Credit Suisse Analyst: Subpar Service Hurts Web Lenders' Stock

MIAMI - On-line mortgage volume doubled to between $10 billion and $14 billion last year, but companies offering mortgages on the Web will have to overcome service hurdles before their stock wins investor support, says analyst James M. Marks.

Mortgages are "ideally suited" for the Internet, Mr. Marks said at the 2000 Mortgage Technology Conference here. But he emphasized that lenders and investors should not underestimate how hard "modifying consumer financial behavior" can be.