I wouldn't phrase it like that to someone who is considering how much of a down payment they should put down.

You're phrasing it as if you're being penalized by putting more down, being offered such a higher rate because you chose to put more down because the lender is less safe.

In reality, if you put 20% down you're getting the regular rate. Yes, it's higher than the high ratio rate, but it's not like you're getting screwed for putting 20% down... You're getting the norm.

Someone weighing whether they should put 20% down or not should understand that nobody is out to get them if they put 20% down, they just get a discounted rate if they don't have the 20%.

Obviously we're looking at the same situation, but I think phrasing matters..