Losses On PRIME Mortgages Worse Than Expected At JP Morgan

Although JPMorgan (JPM) had to take various losses in its real estate and credit card portfolios this quarter, the management was quick to say that everything was in-line with previous estimates given by the company.

One area that’s coming in worse than expectations: prime mortgages.

The chart below shows the increasing level of delinquencies in this category, and though they previously said per-quarter losses could hit a high of $475 million, they now see think it could go as high as $500 million. In this quarter, prime-category losses were just $312 million.


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