Daily News: April 28, 2014

Bloomberg: BofA Facing Additional $13B to Settle RMBS Probe

Bloomberg reported, according to people familiar with the matter, U.S. prosecutors are seeking more than $13 billion from Bank of America to resolve federal and state investigations of the lender’s sale of bonds backed by home loans in the run-up to the 2008 financial crisis.

Bloomberg said the settlement would come on top of the $9.5 billion the bank agreed last month to pay to resolve FHFA claims. A deal could come within the next two months, the people said.

Bloomberg notes that if the Justice Department gets its way, the case against Bank of America will eclipse JPMorgan Chase‘s record $13 billion global settlement over similar issues in November.

To read the entire Bloomberg article, click here.

Previously on abfjournal: BofA to Pay $6.3B to Settle FHFA Lawsuit, March 27, 2014>