JPMorgan Chase & Co. (NYSE:JPM) has received the lion's share of press about multibillion-dollar settlements stemming from mortgage-related wrongdoing in the lead-up to the financial crisis, not least its tentative $13 billion settlement with government investigators. So it might surprise you to know that since 2008, Bank of America Corp. (NYSE:BAC) has paid out more than every other bank in the United States combined and a little over double what JPMorgan has paid.
BoA, led by Brian Moynihan, has paid out more than $47 billion compared with JPMorgan’s $22.3 billion, Wells Fargo & Co.'s (NYSE:WFC) $9.8 billion, Citigroup Inc.'s (NYSE:C) $6.2 billion, Goldman Sachs Group Inc.'s (NYSE:GS) $0.9 billion, and a combined $9 billion for America’s remaining mortgage-related institutions.
Last year five banks agreed to pay $32 billion in the National Mortgage Settlement to provide mortgage relief to homeowners affected by predatory lending practices; Bank of America agreed to pay $12.4 billion.
Since 2008, more than $95 billion in mortgage-related penalties have been paid by financial firms all across America, and things look like they are due to get worse. Bank of America may soon reach a $6 billion settlement with regulators and it looks like JPMorgan may have to face the music on the Bernie Madoff scandal, although no formal charges have been filed as yet.
Born and allegedly conceived by candlelight in 1984, Christopher was raised in Edinburgh, Scotland. After four years in the British Royal Navy, he decided to leave the sea...