Wachovia mortgage unit halting loans via brokers

NEW YORK (Reuters) - Wachovia Corp WB.N, the fourth-largest U.S. bank, on Monday said its main mortgage unit will stop offering home loans through brokers this week, joining a growing number of lenders to curb wholesale lending.

"We thought it was important to focus on customers who have relationships with the bank, and in geographies where Wachovia has branches," spokesman Don Vecchiarello said. "Based on that, we've decided to discontinue doing business through our wholesale mortgage channel as of July 25."

Wachovia is assessing how many jobs will be affected by the decision, Vecchiarello said.

The Charlotte, North Carolina-based bank is scheduled to report second-quarter results on Tuesday. It has projected a $2.6 billion to $2.8 billion loss, citing mounting credit problems tied to mortgages.

(Reporting by Jonathan Stempel; Editing by Carol Bishopric)