According to an article in the Wall Street Journal:
“Jorge Rodriguez, owner of a Peruvian restaurant in Los Angeles, said Wells Fargo & Co.—his bank for several years—turned him down … when he sought financing to remodel and expand his business. ‘They wouldn’t even look at me as a viable client,’ said Mr. Rodriguez.” Why have large banks like Wells Fargo cut back on their lending to small businesses? In another article, the owner of a construction firm in New Hampshire stated: “We want a bank that will stick with us and ride out the tough times.” Why might a small bank be more likely to provide credit to the construction firm’s owner than would a large bank?