Wednesday, July 18, 2012

Bank of America settles with insurer for $375 million

Bank of America will pay securities insurer Syncora Holdings Ltd. $375 million to settle claims that Countrywide didn't tell the company about the risks of mortgage-backed securities it insured, Syncora announced late Tuesday.

The lawsuit was filed in 2009.

Bank of America continues to deal with litigation involving Countrywide mortgages bundled into securities and sold to a range of parties. The securities fell apart during the financial crisis.