Monday, February 27

Deutsche Bank Agrees $7.2bn Penalty with US Regulators

The job of the most honest seller is to sell you, not to give you reasons to buy from a competitor. That over-riding reality drives the free-enterprise system, and places a responsibility on you.

FoolProof's Hall of Shame is here to remind you why a healthy dose of skepticism should rule your decisions before dealing with anyone who wants to touch your money or your general welfare.

December 23, 2016

Mortgages

Germany's Deutsche Bank says it has agreed a $7.2bn (£5.9bn) payment to US authorities over an investigation into mortgage-backed securities.

Source: www.bbc.com

Several banks in the US have been subject to investigations over allegations of giving mortgages to unqualified borrowers, then repackaging those loans as safe investments and selling the risk on to others. The inquiries related to deals done between 2005 and 2007.

Under the settlement, Deutsche's payment will be made up of a civil penalty of $3.1bn, as well as $4.1bn in consumer relief, delivered over a period of five years, that will help US homeowners.