While everyone is focused on the Department of Justice’s settlement with banks, the Federal Reserve quietly settled with them as well.
Obviously, the $766.5 million the Fed is getting doesn’t compare to a $25 billion settlement, but geez, what a day.
The monetary sanctions would be assessed for unsafe and unsound processes and practices in residential mortgage loans servicing and foreclosure processing. These deficiencies were identified by examiners during reviews conducted from November 2010 to January 2011. The deficiencies represented unsafe and unsound practices at these five institutions and corrective measures were required by formal enforcement actions issued against the institutions on April 13, 2011.
The amounts of the monetary sanctions to be levied by the Board against these institutions are as follows:
Bank of America: $175.5 million
Wells Fargo: $87 million
JPMorgan Chase: $275 million
Citigroup: $22 million
Ally Financial: $207 million