Citigroup coughs up $968 million to Fannie Mae

Citigroup will pay $968 million to Fannie Mae to settle a claim over millions of bad home loans, reports the Washington Post.

Read: Senators propose dissolving Fannie and Freddie

“This is the latest win for Fannie Mae, which has been seeking compensation from banks that it claims misrepresented the quality of home loans sold to it during the housing boom. When the housing market crashed, homeowners defaulted on those faulty loans en masse, saddling Fannie with billions of dollars in losses,” the report explains.

Read more here.

Also read:

Citi dumps Bloomberg chat groups

Fed orders Citigroup to fix anti-money laundering controls

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.