JPMorgan Settlement Brings Costs to $85B for Six Largest Banks
JPMorgan’s announced settlement with federal and state regulators brings the total credit crisis and mortgage-related settlement costs for the six largest banks by assets above $85 billion, according to an SNL analysis.
JPMorgan Chase & Co.’s $13 billion settlement with U.S and state regulators from Nov. 19 brings the total credit crisis and mortgage-related settlement costs to more than $85 billion for the six largest bank holding companies by assets, according to data compiled by SNL Financial.
In a recent interview with Reuters, U.S Attorney General Eric Holder said the four components of the JPMorgan settlement would serve as a template for the Department of Justice in seeking future mortgage fraud resolutions. The settlement included a fine, acknowledgement from the company of the problems with the securities issued, consumer relief and the exclusion of any open criminal investigations.
The $13 billion settlement, of which executives attribute roughly 80% to Washington Mutual and Bear Stearns, includes $4 billion to consumers in the form of aid, $4 billion to the Federal Housing Finance Agency, $2 billion to the Department of Justice, $1.4 billion to the National Credit Union Administration and $515.4 million to the FDIC.
To read the full analysis, click here.