Bank of America has to Pay 8.5 BILLION Due to their Mortgage FRAUD (MERS) to Investors - LET ALL THE CLASS ACTION LAWSUITS BEGIN AGAINST ALL THE BANKS!

I AM LOVIN IT!!!  TOTALLY!

LET'S HOPE THIS IS THE FIRST OF A MULTITUDE OF SETTLEMENTS AND LETS HOPE CLASS ACTION LAWSUITS BEGIN AGAINST ALL THE WALL STREET FRAUD BANKS REGARDING THE FRAUD MORTGAGES (MERS)!

Bank of America has to pay out 8.5 BILLION to Investors (Pimco, Blackrock, Metlife, N.Y. Fed), which is just the beginning!  This is SO AWESOME!~

This shows the mortgage Fraud is going to hit the banks at the point they started the FRAUD of mortgages by creating MERS!

The investors want their money back, because of the FRAUD and how the banks put one mortgage in multiple bonds, but besides that the mortgages are not enforceable due to the FRAUD of the Wall Street Banks!  Their GREED is coming back to Roost!

LET THE SUITS BEGIN!

Portion From Article:

Bank of America may be about to part with more money than it has earned since 2008 in what will soon be the biggest financial settlement in the industry to date According to the WSJ, the Charlotte, NC-based bank is preparing to pay $8.5 billion to settle mortgage (mis)representation claims (aka the Mortgage putback issue) brought on by such high profile figures as BlackRock, Pimco, MetLife and, of course, the Federal Reserve, previously discussed on Zero Hedge. "A deal would end a nine-month fight with a group of 22 investors that hold more than $56 billion in mortgage-backed securities at the center of the dispute, including giant money manager BlackRock Inc., insurer MetLife Inc. and the Federal Reserve Bank of New York." Keep in mind that this is actually not good news for the bank, contrary to what the company's stock is doing after hours, as this still keeps the company exposed to a multitude of other rep and warranty litigation (which will now be largely underreserved), not to mention fraudclosure issues, which are totally unrelated, and which will plague the bank for years and years. Lastly, BAC is largley underreserved (see below) for a settlement of this size which means its Tier 1 capital ratio will likely be impacted due to a major outflow of cash.

From the WSJ:

The deal could embolden mutual-fund managers, insurance companies and investment partnerships to go after similar settlements with other major U.S. banks, arguing that billions in loans scooped up before the U.S. housing collapse didn't meet sellers' promises or were improperly managed. Most vulnerable would be Wells Fargo & Co and J.P. Morgan Chase & Co., which along with Bank of America collect loan payments on about half of all outstanding U.S. mortgages.

The dispute between Bank of America and the mortgage investors began last fall when they alleged that securities they bought before the financial crisis from Countrywide Financial Corp. were composed of loans that didn't meet sellers' promises about the quality of the borrowers or the collateral.