JPM Makes Small Dent in Consumer Relief: Settlement Monitor
The official in charge of monitoring JPMorgan Chase's $13 billion settlement with bank regulators released his initial progress report this week.
JPMorgan has so far earned $6.3 million in "credit" toward its consumer relief obligations, the report by Joseph A. Smith Jr. said. More than $5 million came in the form of principal forgiveness for homeowners.
As part of the agreement reached last November, JPMorgan agreed to pay $9 billion to regulators and provide $4 billion in consumer relief to settle charges related to the sale of mortgage-backed securities.
The settlement also required an independent monitor to oversee the bank's consumer relief requirements.
Smith, the former bank regulator in North Carolina, was selected for the role. He was the state's commissioner of banks from 2002 through 2012. He was also nominated by President Obama in 2010 to oversee the Federal Housing Finance Agency, but withdrew his nomination in early 2011 because of opposition in the Senate.
Smith plans to release his next report by the end of the year.