Tag Archives: residential mortgage backed securities

Moody's Investors Service on Thursday announced the upgrading of 11 tranches from 3 transactions backed by conforming balance residential mortgage-backed securities issued by Fannie Mae and Freddie Mac totaling about $1 billion.

The Federal Deposit Insurance Corp. has sued Bank of New York Mellon, claiming that the bank breached its duties as bond trustee for $2.06 billion worth of residential mortgage-backed securities purchased by an FDIC-insured bank in Texas which later failed.

Goldman Sachs has agreed to pay approximately $270 million to resolve claims that it sold billions of dollars worth of faulty residential mortgage-backed securities to investors, according to multiple media reports.

JPMorgan Chase & Co agreed to pay $388 million to resolve a lawsuit by investors who claimed that the U.S. bank provided misleading information about the safety of $10 billion worth of residential mortgage-backed securities it sold before the financial crisis, according to multiple media reports.

The issuance of new U.S. prime jumbo residential mortgage-backed securities (RMBS) is set to exceed last year’s levels thanks to a strong second quarter of RMBS issuance, according to Fitch Ratings’ quarterly U.S. Prime Jumbo RMBS Trends report. The Fitch report notes that eight jumbo RMBS deals came to market in second-quarter 2015 from six issuers.

A group of dozens of investors, led by BlackRock, Inc., have revived a lawsuit in a New York state court that was dismissed in a federal court last month, accusing U.S. Bank of failing in its duties as trustee for more than $743 billion worth of mortgage backed securities.

Independent monitor Joseph A.Smith verified Chase's claim made in December that the bank had provided $2.24 billion in consumer relief credit to 111,924 borrowers as of the end of the third quarter (September 30, 2014). Chase has until December 31, 2017 – nearly three full years – to pay the approximate remaining amount of nearly $1.8 billion of its obligation toward consumer relief under the settlement.