Bank of America and the Justice Department are close to completing a long-rumored and record-setting deal to resolve allegations of misconduct in the sales of mortgage-backed securities that went bad.
Read More »JPMorgan Negotiates $4.5 Billion Settlement with Mortgage Trustees
In an effort to resolve claims against JPMorgan over alleged misrepresentations related to money-losing mortgage bonds, trustees agreed on Friday to accept the bank’s $4.5 billion settlement offer on behalf of the great majority of trusts that owned mortgage-backed securities issued by the bank.
Read More »Goldman Sachs FHFA Settlement could reach $1.25 Billion
Multiple reports surfaced over the weekend that Goldman Sachs may be nearing a deal with the federal government to settle claims that it sold faulty mortgage backed securities to Fannie Mae and Freddie Mac, according to people with familiar with the negotiations. If a deal is reached it is expected to come in between $800 million and $1.25 billion. The talks were first reported by the Wall Street Journal.
Read More »Morgan Stanley Settles RMBS Claims
Morgan Stanley agreed to pay back $275 million to investors whom the Securities and Exchange Commission say were mislead by a pair of mortgage bonds the company marketed during the financial crisis.
Read More »JPMorgan Begins to Offer Homeowner Relief
In accordance with the terms of its settlement with the federal government, JPMorgan has begun the process of providing debt forgiveness and other mortgage relief to struggling homeowners.
Read More »Citigroup Announces Effect of Settlement on Q2 Earnings
Citigroup's second-quarter profits took a major hit as the bank announced a settlement with the government to resolve securities claims. Citi released its quarterly earnings report Monday morning, posting net profit of $181 million—a decline of 96 percent compared to earnings of $4.2 billion a year ago.
Read More »Citigroup Nears $7 Billion Deal to Resolve Mortgage Probe
Citigroup is close to a deal with the Department of Justice to resolve allegations that the bank sold defective mortgage backed securities in the lead up to the financial crisis.
Read More »FED: Payment Agreement on Track
The Federal Reserve Board published a report Monday defending and showing the progress of the Independent Foreclosure Review and subsequent Payment Agreement between the board and 15 large mortgage servicers. Between April 2011 and April 2012, the Office of the Comptroller of the Currency (OCC) and the Federal Reserve issued enforcement actions against 16 mortgage loan servicers for inadequate foreclosure and mortgage loan servicing practices.
Read More »HUD Settles Discrimination Claim
GFS Capital Holdings, formerly Greenlight Financial Services, settled a claim with HUD regarding discrimination of women on maternity leave. The company agreed to pay a total of $48,000 to individuals against which it allegedly discriminated. HUD investigated Greenlight after a family complained the company denied their refinance loan application because the wife was on maternity leave at the time.
Read More »Suntrust Settles HAMP Investigation
In a filing with the SEC, Suntrust Banks, Inc. announced Thursday afternoon that it would pay up to $320 million to halt a criminal investigation into whether it had dealt inappropriately with homeowners who were looking to take advantage of the Home Affordable Modification Program. Several government agencies had been investigating SunTrust in connection with complaints that it misled homeowners who sought mortgage relief from SunTrust through HAMP and failed to timely process HAMP applications.
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