View more on these topics

Banks face multi-billion pound fines over mortgage misselling

Payment-Fine-Currency-Money-700.jpg

Barclays, Deutsche Bank and Credit Suisse are expected to be hit with multi-billion pound fines for misselling mortgage-backed securities in the run-up to the financial crisis.

The Financial Times reports the US Department of Justice is hoping to agree a single settlement with the banks ahead of the US presidential election.

It comes as investors become increasingly nervous about the financial stability of Deutsche Bank, after an initial demand for the bank to pay $14bn (£10.8bn) was leaked.

Deutsche Bank has built up reserves of €5.4bn (£4.7bn), while Barclays has set aside £2.5bn for investigations and litigation and Credit Suisse has made provisions of SFr1.76bn ($1.82bn).

All three banks and the DoJ declined to comment to the newspaper.

Recommended

Danby Bloch: Is your risk committee doing its job?

We have a board committee at Helm Godfrey that looks at the key risks facing the business. The core document is the risk register. One of the issues we have been considering lately is whether we are actually providing the ongoing reviews and other services to clients that we said we would. Advice firms need […]

Ian-McKenna-in-2013-700.jpg
1

Ian McKenna: The next wave of tech to hit the advice market

Finovate is well established as a must see event for anyone who wants to keep up with the latest developments in financial technology. Across four shows – Europe in February, West Coast US in May, New York in September and now in Asia in November – it presents valuable insight into the technology that will […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

There is one comment at the moment, we would love to hear your opinion too.

  1. So not facing fines for mortgage misselling (to ordinary people) then, but rather fines for misselling securities backed by mortgages (to other financial institutions). I can see why such a tiny difference could result in a wrong headline!

Leave a comment