Skip to main content

Bank of America Resolves Countrywide Dispute With GSEs to the Tune of $3 Billion

NationalMortgageProfessional.com
Jan 03, 2011

Bank of America has agreed to pay out nearly $3 billion total to both Fannie Mae and Freddie Mac for a repurchase claims dispute over housing loans sold to them by Countrywide Financial Corporation. Bank of America agreed, among other things, to a resolution amount of approximately $1.52 billion, consisting of a cash payment of $1.34 billion made by Bank of America on Dec. 31, 2010, and credits for payments recently made or to be made by them.  The agreement resolves outstanding repurchase requests on 12,045 loans sold to Bank of America by Countrywide, addresses 5,760 other loans sold to Bank of America by Countrywide and permits Bank of America to bring claims for any additional breaches of its representations and warranties that are identified with respect to those loans. Fannie Mae continues to work with Bank of America to resolve repurchase requests that remain outstanding, including requests relating to loans delivered to the company by Bank of America. Fannie Mae pursues repurchase requests to protect the interests of the company and to prudently manage the resources that Bank of America has been provided. This agreement with Bank of America addresses approximately 44 percent of the $7.7 billion in repurchase requests (measured by unpaid principal balance) that the company had outstanding with all of its seller-servicers as of Sept. 30, 2010. For more information, visit www.bankofamerica.com.
Published
Jan 03, 2011
Federal Court Shutters Sham Mortgage Relief Operation

FTC, California agency accuse 2 business owners of scam that cost consumers millions of dollars.

Regulation and Compliance
Sep 22, 2022
CFPB Seeks Input On Creating New Mortgage Products

Agency seeks information on refinances, mortgage products to promote competition and support household financial stability.

Regulation and Compliance
Sep 22, 2022
The Fed Raises Interest Rate 0.75% For The 3rd Time

Chairman said housing market may have to go through "a correction" to return to balance.

Regulation and Compliance
Sep 21, 2022
Fed Committee Gathers To Renew Inflation Fight

FOMC expected to announced 0.75% rate hike after 2-day meeting ends Wednesday.

Regulation and Compliance
Sep 20, 2022
MISMO Releases New Reference Model For Public Comment 

Version 3.6 of the MISMO Reference Model includes new data points and structures.

Regulation and Compliance
Sep 19, 2022
MBA, Other Organizations Want FHA's MIP Reduced

Submit letter to the White House & National Economic Council urging reduction in mortgage insurance premium.

Regulation and Compliance
Sep 14, 2022