LORELAI: So anyway, I called the bank today.
SOOKIE: How did that go?
LORELAI: Well, it – wait, yeah, oh, what’s that? Yeah, they’re still laughing.
The plot of this episode revolves around Lorelai’s house getting damaged by termites and her not being able to raise the money to have it fixed. Even though she’s a homeowner, it turns out later in the episode that she has already taken out bank loans using her house as equity twice before, which is why she’s having trouble getting a loan now.
She does say she always pays backs her debts, and she has a good income from working at the inn, so it seems unlikely that banks would give her no help at all. They have loans specifically for renovation and reconstruction, allowing you to pay the loan back as bills come in, so that you don’t pay any interest on the loan until the project is complete.
Lorelai wasn’t even able to get money from a loan shark or predatory lender, which she fictionalises as Jacko’s Loans and Stuff, possibly because she needed more money than they typically loan.
Financial issues rarely seem to add up on Gilmore Girls, and this is an example of a situation which doesn’t seem quite believable.