Bank of America Corp. agreed to settle certain claims with Fannie Mae surrounding almost all of the mortgage loans originated by Countrywide Financial Corp and Bank of America National Association from 2000 through 2008, the Wall Street Journal reported today. Bank of America said that as part of the deal, it will pay Fannie Mae $3.6 billion. Bank of American also said it will pay Fannie $6.75 billion to repurchase "certain residential mortgage loans sold to Fannie Mae, which Bank of America has valued at less than the purchase price." The bank added that it expects to cover settlement costs from existing reserves, plus an additional $2.5 billion pretax charge taken in the fourth quarter of 2012.
