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In 2011, President Obama's Federal Housing Finance Agency (FHFA) made financial history when it filed civil suits against Bank of America (BAC) and other mortgage lenders.
Troy-based Flagstar Bancorp has entered into a $121.5 million agreement to resolve issues relating to mortgage loans that were sold to Fannie Mae but later went bad.
Nationstar shares are trading way down, falling 17 percent. The company’s third-quarter earnings fell short of Wall Street expectations. Analysts were expecting $1.26 per share vs. 91 cents per share.
American International Group (AIG) is reportedly believed to file a lawsuit against Morgan Stanley over $3.7bn mortgage-backed securities.
Over the last year, mortgage rates have proven to be highly volatile. Many analysts and commentators even blame the recent rise in rates for stalling the still-fragile housing recovery. In the third quarter of this year, for example, mortgage giants like Wells Fargo and JPMorgan Chase saw mortgage origination volumes plummet by double-digit margins--Wells Fargo's by nearly 30% compared to the second quarter and JPMorgan's by almost 20%.
Two senators introduced legislation Wednesday to outlaw tax deductions by companies for penalties paid as part of government settlements, responding to concerns that JPMorgan Chase & Co. could end up with a huge write-off if it settles civil investigations with the Justice Department over mortgage bonds.
Fifth Third Bancorp. (FITB) is facing a civil investigation by government agencies over its mortgage practices, joining a slew of banks facing lending probes.
JPMorgan Chase & Co has been talking with New York City Police Commissioner Ray Kelly about hiring him for a senior role in security at the bank, a person familiar with the matter said on Wednesday.
Wells Fargo & Co. (WFC:US), the largest U.S. home lender, settled legal disputes with federal regulators tied to mortgage-backed securities for about $335 million.
Morgan Stanley, the sixth-largest U.S. bank by assets, said it may be sued by American International Group Inc. over mortgage-backed securities that the insurer bought before the financial crisis.
Fannie Mae/Federal National Mortgage Association and Freddie Mac/Federal Home Loan Mortgage Corp. are probably not long for this world, having taken a lot of the blame (deserved or not) for the financial crisis that we’re just now recovering from, but in the meantime they are making a decent profit suing banks that sold the two entities mortgage-backed securities that turned out to be a lot more risky than advertised.
Former U.S. Rep. Barney Frank is anything but an apologist for the financial sector. So when he questions even one facet of the proposed penalties for JPMorgan Chase connected to allegations related to the low quality of mortgage-backed securities peddled ahead of the 2008 financial debacle, it gets you thinking about what would be a fair and just punishment.
Ally Financial posted weaker earning results in its mortgage operations due to charged tied to federal regulator settlements and the cease in new originations.
The ongoing push by the Federal Housing Administration toward additional transparency and data disclosure took another positive step toward the modernization of Ginnie Mae.
The Mortgage News Ticker is a collection of news articles, magazine stories and blog posts from around the web. The opinion expressed are those of the news sources and do not reflect that of National Mortgage Professional Magazine, NationalMortgageProfessional.com, NMP Media Corp. or its affiliates.