Friday, November 1, 2013

FHFA RMBS Litigation Totals

From complaints (and amended complaints) and settlements we were able to string together this table of potential litigation costs that may be be borne by some of the major financial institutions who sold RMBS securities to FHFA -- based on a basic extrapolation of settlement expenses from the two data points that have been disclosed.  

This covers only RMBS purchase litigation -- not the mortgage repurchases, or "put-backs."  The totals potentially due to FHFA, on behalf of Fannie and Freddie, also ignore any potential settlements the FHFA might strike with other parties which they have not sued, like Wells Fargo. Numbers in the right-hand columns are in billions.


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